Recently I have water pipe burst under the kitchen sink. The

by namle123 » Mon Jan 18, 2010 05:57 am

My house was total water damage on the first floor. Kitchen, hallway, full guess bath, and pantry were installed with Engineer wood. The study room, family, dining, master bedroom, mastet bath, and closet were installed with carpet. I just want to take the amount of $ paid by insurance to replace the wood area with tile and the carpet area with wood. My understanding is If I want to get the Replacement $ I have to prove the real replacement $ that is more than Actual cost + depreciation cost, right? Or I just accept the Actual cost value that is the result of replacement minus the depreciation? Thank

Total Comments: 2

Posted: Mon Jan 18, 2010 04:03 pm Post Subject:

If you have replacement cost on your policy than that's how they will settle your claim. They will settle it based off of the materials that were damaged, not the materials you are wanting to replace the damaged ones with. Receipts will help if you have them.

Posted: Mon Jan 18, 2010 05:20 pm Post Subject:

You are owed the replacement cost if you have the repairs made. It doesn't matter that you replaced the materials with different materials. Are you owed for upgrades...NO. But you are still owed the holdback once the repairs are made. Let the adjuster know what you are going to do. I assume the adjuster wrote an estimate and is how they arrived at the RCV and ACV amount. Once the work is complete, send the invoice for the repairs and they should be able to send you the holdback from their original estimate.

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