Keyword
actual cash value
Intact policyholder conflates ACV with replacement cost value
April 4, 2023 by David GambrillIntact recently won an appraisal dispute with an insured who originally claimed more than four times the market value of his business property after a fire, prompting the court to find the insured was conflating actual cash value (ACV) of…
Why this home insurer wasn’t allowed to use a replacement cost overpayment to set off a contents claim
March 17, 2022 by David GambrillA home insurer lost its bid to set off a contents claim using the difference between the Guaranteed Replacement Cost (GRC) and the depreciated value of a home that was rebuilt after a fire. The Ontario Superior Court allowed this…
When the appraisal umpire goes beyond the depreciation rate of both the claimant and the insurer
January 15, 2021 by David GambrillIn a $1.2-million dispute arising from a property resort fire, an Ontario appraisal umpire did not exceed his authority when he used a much higher depreciation rate than both the claimant and the insurer did to calculate the value of…
Supreme Court of Canada will not hear appeal from insureds seeking replacement cost instead of actual cash value in fire claim
June 2, 2017 by Canadian UnderwriterA disputed property insurance claim arising from a fire in Ottawa, in which the claimants asked for replacement value but the insurer would only pay actual cash value, will not be heard by the Supreme Court of Canada, the court…
Court denies replacement value coverage on fire claim after owners plan to build larger structure on same Ottawa site
December 20, 2016 by Canadian UnderwriterIn a fire insurance claim, the courts recognize that “the need to rebuild premises which more closely resembled the original” is critical in triggering coverage for replacement value rather than actual cash value, Dutton Brock LLP suggested in a bulletin…