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Tools/80 percent replacement cost rule calculator

80 percent replacement cost rule calculator

Compare a home's Coverage A limit with its replacement cost and explore the underinsured branch.

Replacement-cost qualification

See which branch your entered numbers reach

This tool illustrates the requested 80% comparison. It does not supply a notice deadline or decide whether a policy pays replacement cost.

Enter the full replacement-cost estimate for the home, not the limit.

Enter the Coverage A limit shown on the declarations page.

Enter the loss amount being compared with the limit and branches.

Enter the depreciation percentage you want to test; it is not a finding about any item.

Turn this on only when the policy contains the endorsement, then enter its percentage and read the wording.

What-if Coverage A comparison

Test a different Coverage A limit without changing the worksheet limit, permalink, or primary result. The same replacement cost, loss, depreciation, and endorsement inputs are used.

Enter a comparison limit only. It is not saved in the worksheet or shared link.

Illustrated result

Enter a replacement cost greater than zero to see the 80% comparison. The tool will not invent a replacement-cost estimate or notice deadline.

Related tools and reading

Review ACV and depreciationCompare coinsurance carried

Frequently Asked Questions

What does the 80% requirement show?

It multiplies the replacement cost you enter by 80%. This tool uses that result to choose the requested qualified or underinsured branch.

Does qualifying guarantee replacement-cost payment?

No. Repairs, notice, policy wording, exclusions, limits, and the facts of the loss still matter. Check your form.

Why enter depreciation?

The underinsured branch compares a depreciation-based actual cash value with a proportional illustration. The depreciation percentage is an input, not a carrier-approved finding.

What document supports replacement cost?

Use an estimate, scope, appraisal, contractor record, or other record that supports the replacement-cost input.

Policy provisions · Last reviewed September 16, 2026

  • ISO HO 00 03: replacement-cost qualification requires Coverage A of at least 80% of full replacement cost. Below that amount, use the larger of ACV and repair cost multiplied by the limit divided by 80% of replacement cost, subject to the limit. Payment above ACV generally follows completed repair or replacement, except for small losses. The insured may take ACV first and notify the carrier of the intent to repair or replace within 180 days after the loss. Last reviewed September 16, 2026.
  • ISO HO 00 03 and ISO CP 00 10: the editable notice-period illustration defaults to 180 days; the loss date, triggering event, counting method, and applicable form control govern. Last reviewed September 16, 2026.

Supporting Records Needed

  • Declarations page showing the Coverage A limit
  • Replacement-cost estimate or scope supporting the full replacement cost
  • Estimate and records supporting the loss
  • Replacement-cost endorsement and repair-notice wording

Related Reading

  • How to Read Your Insurance Policy
  • Why Do You Need a Public Adjuster?
  • Property Insurance & Coinsurance Lesson
  • Read Everything Before You Sign

Educational illustration based on your inputs. Not legal, coverage or claim advice. Your policy language controls.

Crossroads Insurance Recovery Advocates, Texas public adjuster entity license #1924788

80 percent replacement cost rule calculator Summary

Generated on

Calculator URL:

The linked URL in a saved PDF reopens these inputs. The worksheet values are printed below.

Inputs

Full replacement cost$0.00Source: The replacement-cost estimate entered by the user; read the applicable wording in your policy.
Coverage A limit$0.00Source: The limit entered by the user; read the applicable wording in your policy.
Loss$0.00Source: The loss estimate entered by the user; read the applicable wording in your policy.
Depreciation0%Source: The depreciation percentage entered for the actual-cash-value branch; read the applicable wording in your policy.
Extended replacement costNot enteredSource: The optional endorsement percentage entered by the user; read the applicable wording in your policy.

Results

Policy provisions · Last reviewed September 16, 2026

  • ISO HO 00 03: replacement-cost qualification requires Coverage A of at least 80% of full replacement cost. Below that amount, use the larger of ACV and repair cost multiplied by the limit divided by 80% of replacement cost, subject to the limit. Payment above ACV generally follows completed repair or replacement, except for small losses. The insured may take ACV first and notify the carrier of the intent to repair or replace within 180 days after the loss. Last reviewed September 16, 2026.
  • ISO HO 00 03 and ISO CP 00 10: the editable notice-period illustration defaults to 180 days; the loss date, triggering event, counting method, and applicable form control govern. Last reviewed September 16, 2026.

Disclaimer: Educational illustration based on your inputs. Not legal, coverage or claim advice. Your policy language controls.

Crossroads Insurance Recovery Advocates, Texas public adjuster entity license #1924788

Crossroads
Insurance Recovery Advocates

Your trusted fiduciary agents. We level the playing field against insurance companies to maximize your financial recovery.

TX Entity License: 1924788

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