Navigating Storm Damage Insurance: ACV vs. RCV Coverage

Filing an insurance claim for storm damage

Filing an insurance claim for storm damage to your roof is a critical step in ensuring your home is protected. However, it’s equally important to understand the potential pitfalls associated with Actual Cash Value (ACV) insurance coverage. In this Learning Center post, The Shingle Master explores the challenges homeowners may face when filing an insurance claim under ACV coverage and highlights the key differences compared to Replacement Cost Value (RCV) coverage.


Pitfalls of ACV Insurance Coverage:

1. Depreciation Impact:

  • ACV Deductions: ACV takes into account the depreciation of roofing materials, resulting in an insurance payout based on the current value of damaged items. This often leads to lower reimbursement amounts compared to the full cost of replacement or repair.

2. Out-of-Pocket Expenses:

  • Coverage Gaps: Homeowners may encounter significant out-of-pocket expenses with ACV coverage. The insurance reimburses the depreciated value of roofing materials, leaving a gap between the payout and the actual cost of repairs or replacement.

3. Inadequate Funding for Restoration:

  • Limited Financial Support: ACV coverage may not provide sufficient funds to fully restore the roof to its pre-damaged condition. This limitation can hinder homeowners from undertaking comprehensive repairs, potentially leading to further issues down the line.


The Difference with RCV Coverage:

1. Full Replacement Cost:

  • No Depreciation Deductions: RCV coverage ensures homeowners are reimbursed for the full replacement cost of damaged roofing materials without deducting for depreciation. This guarantees a more substantial payout aligned with the actual expenses of restoration.

2. Higher Payouts:

  • Comprehensive Financial Support: With RCV coverage, homeowners are more likely to receive higher payouts, providing the financial means to undertake complete roof replacement or repair. This alleviates the burden of out-of-pocket expenses and offers greater peace of mind.

3. Improved Restoration Options:

  • Flexibility in Material Choices: RCV allows homeowners the flexibility to choose materials that enhance the durability and longevity of the roof, even if they are more expensive. This ensures that restoration efforts are comprehensive and of higher quality.



The key difference between filing a storm damage insurance claim with ACV and RCV coverage lies in the extent of financial support provided. RCV coverage, offered by The Shingle Master, presents a more comprehensive solution by covering the full replacement cost without factoring in depreciation. This minimizes out-of-pocket expenses and enables thorough restoration efforts. Choosing the right insurance coverage is essential to effectively address storm damage and safeguard the longevity of your roof. The Shingle Master is here to guide you through the process and ensure your home is well-protected.