Actual Cash Value vs Replacement Cost Roof Insurance: What Every San Antonio Homeowner Should Know
Roof damage after a storm can already feel overwhelming—navigating your insurance coverage shouldn’t add more confusion. One of the most important factors that affects your payout is whether your homeowner’s insurance covers your roof under Actual Cash Value (ACV) or Replacement Cost Value (RCV).
At Dolan Roofing & Construction, we’ve helped hundreds of San Antonio homeowners understand the fine print in their policies and make smart decisions after a storm. Here’s what you need to know.
What’s the Difference Between Actual Cash Value and Replacement Cost?
Both ACV and RCV policies offer coverage for roof damage—but the amount you’ll actually receive from your insurance company can vary significantly.
Actual Cash Value (ACV)
An ACV policy pays you based on the depreciated value of your roof at the time of loss. That means your payout will be reduced based on the age and condition of your roof—even if the damage was from a covered event like hail or wind.
Example:
If your roof originally cost $25,000 to install and it’s 15 years old, depreciation might reduce its value by $15,000. An ACV policy would pay you only $10,000, minus your deductible. You’d be responsible for covering the rest out-of-pocket.
Replacement Cost Value (RCV)
An RCV policy covers the full cost to replace your roof with materials of like kind and quality. This policy type does not account for depreciation.
While you’ll still pay a deductible, the insurance payout will be much higher—and closer to what you actually need to fully replace the roof.
Which Option Is Right for You?
There’s no one-size-fits-all answer—it depends on your financial situation, risk tolerance, and the condition of your roof.
✅ Choose ACV if:
- You’re comfortable covering more of the replacement cost out of pocket
- You want a lower monthly premium
- Your roof is nearing the end of its life
✅ Choose RCV if:
- You want full coverage for storm damage
- You prefer to pay more now to avoid large bills later
- You recently replaced your roof or plan to stay in your home long-term
Why It Matters in San Antonio
Texas weather doesn’t mess around. Between hail, hurricanes, and high winds, your roof is on the front lines year-round. If you haven’t reviewed your insurance policy recently, now’s the time—before you need to file a claim.
Don’t Wait Until You Need a Claim to Understand Your Policy
At Dolan Roofing & Construction, we always recommend homeowners review their insurance documents yearly—especially if your roof is aging or you’ve recently switched providers.
If you’re unsure whether your policy covers ACV or RCV, contact your insurance company and ask:
- How is my roof replacement calculated?
- Do I have an ACV or RCV policy?
- How is depreciation determined for my roof?
Book Your Free Roof Inspection Today
Whether you’re preparing for storm season or just want peace of mind, Dolan Roofing is here to help. Our experienced team will inspect your roof, document any damage, and help you understand your next steps—so you’re never caught off guard when it matters most.
📞 Call now or schedule your free roof inspection online.
Important Note: Dolan Roofing & Construction and its authorized representatives are NOT acting as Public Insurance Adjusters and will not negotiate with insurance on the Customer’s behalf. We’re here to educate and assist, but official claims decisions rest with your insurer.
