Replacement Cost Loss Settlement:

The policy pays to repair or replace a damaged or destroyed building. If the policyholder does not meet the requirement of being at least 80 percent insured to value or having the maximum amount of insurance available under the policy, a coinsurance penalty will be applied to the loss.
Special Loss Settlement:

This is applicable to a residential condominium building that is:

  • A manufactured or mobile home or travel trailer, as specified in the policy
  • At least 16 feet wide when fully assembled and at least 600 square feet within perimeter walls

If the building is totally destroyed or damaged to such an extent that, in the NFIP’s judgment, it is not economically feasible to repair to at least pre-damage condition, the policy pays the least one of the following:

  • The lesser of the replacement cost of the dwelling or 1.5 times the Actual Cash Value
  • The building limit of liability shown on the Declarations Page
If such building is partially damaged, and it is economically feasible to repair it to its pre-damage condition, the policy settles according to the Replacement Cost loss settlement conditions.
Actual Cash Value Loss Settlement:

The property types listed below are subject to Actual Cash Value loss settlement.

  • Personal property
  • Abandoned property
  • Outside antennas and aerials, awnings, and other outdoor equipment
  • Carpeting and pads
  • Appliances
  • A manufactured or mobile home or travel trailer that does not meet the conditions for special loss settlement under the provisions of the policy