What is replacement cost value (RCV)?
What it actually costs to replace the roof new at today’s prices — the full amount a replacement-cost policy pays once the work is done.
Replacement cost value, or RCV, is the price to put a brand-new roof back on the house at current material and labor rates — no deduction for age or wear. It’s the top-line number the whole claim is measured against.
On a replacement-cost policy, the carrier pays the RCV in two parts: the actual cash value up front, then the recoverable depreciation after the roof is replaced and you submit proof. Add them together and, minus the deductible, you’ve collected the full RCV.
Knowing the RCV keeps the job anchored to what the roof is really worth. If your scope and supplements don’t add up to a fair RCV, that’s the gap you document and fight for.