What Is Replacement Cost For Home Insurance? 
Replacement cost coverage means that your property if damaged by a covered peril will be replaced with like items regardless of their age or depreciation . In practice if you have a loss of personal property the company will estimate the actual cash value of the damaged property and send you a check for that amount . As you actually replace the item with another of like quality you will file for an adjustment to meet the replacement cost . This is why photographic records are so helpful . In the case of the structure the company is generally quite involved with reconstruction and makes progress payments to the contractors involved . 