My Insurance Company Switched My Roof to ACV Coverage — What Now?

Many Missouri homeowners discover too late that their insurance carrier quietly switched their roof coverage from Replacement Cost Value (RCV) to Actual Cash Value (ACV) at renewal. The Missouri Department of Commerce and Insurance warns that under ACV, a 20-year-old roof may receive as little as 20% of the replacement cost after depreciation. On a $12,000 roof replacement, that means an ACV check of roughly $2,400 — leaving you to cover the remaining $9,600 out of pocket. Here is what ACV means, why carriers are making the switch, and your four options for closing the gap.

What Is the Difference Between RCV and ACV?

The key difference: RCV pays what it costs to replace your roof today. ACV pays what your roof was worth given its age and wear. The older your roof, the bigger the gap between the two numbers.

Why Did My Insurance Switch to ACV Without Telling Me?

Technically, the carrier did tell you — buried in the renewal documents most homeowners do not read line by line. Missouri insurers have been quietly shifting roofs over 10 to 20 years old to ACV at renewal because older roofs generate more claims and cost the carrier more. The switch often appears as a change in the “Roof Surfacing” or “Roof Coverage” line item on your Declarations Page, sometimes listed separately from your dwelling coverage.

Many Missouri carriers now list roof coverage independently from the rest of the dwelling. If you have not reviewed your Declarations Page in the last two years, check it now. The Missouri DCI offers a free roof coverage comparison tool for the top 20 insurers in the state.

What Are My Options If I Have ACV Coverage?

Option 1: File a supplemental claim. If your roofer discovers additional damage during repair that was not in the original adjuster’s scope, a supplemental claim can increase the payout. This is common — adjusters miss damage regularly, and legitimate supplements are a normal part of the claims process.

Option 2: Appeal the depreciation calculation. If the adjuster overstated your roof’s effective age, or attributed wear from prior storms to general aging, you can submit a formal appeal. Include an independent professional inspection report, full photo documentation, and NWS storm event confirmation. Appeals take several weeks but can meaningfully increase the payout.

Option 3: Finance the gap. The difference between the ACV check and the actual replacement cost can be financed. Family First Exteriors offers financing options that allow you to get the roof replaced now and pay the gap over time. Waiting allows ongoing water damage that costs far more than the financing.

Option 4: Switch to RCV at next renewal. At your next policy renewal, ask your agent specifically about an RCV endorsement for roof surfacing. This typically comes with a premium increase, and some carriers will not offer RCV on roofs past a certain age regardless of what you are willing to pay. But if your roof is under 15 years old, the upgrade is usually available and worth the added premium.

What Should I Do Right Now?

Pull your current Declarations Page (the 1 to 2 page summary at the front of your policy). Look for “Roof Surfacing” or “Roof Coverage” as a separate line. If it says ACV, call your agent and ask: “What would it cost to switch my roof coverage to RCV?” Get the answer in writing. If you have already filed a claim and the ACV check is not enough, contact a local roofing contractor to discuss supplement and appeal options before accepting the payout as final.

If you believe your carrier is acting in bad faith — delaying without basis, lowballing without justification, or refusing to provide an itemized depreciation estimate — you can escalate to the Missouri Department of Commerce and Insurance. The DCI accepts consumer complaints and will request a formal response from the insurer.

Frequently Asked Questions