There are two ways to obtain commercial property coverage, namely:
Replacement cost -
This coverage pays the exact cost of rebuilding or replacing lost business property. It doesn't take deduction or depreciation into account.
Actual cash value -
As this coverage factors in depreciation, it only pays the current value of the damaged or lost property. This value is usually lower than the actual cost of replacing or rebuilding the property, so the insured may have to pay the difference out of pocket.