Home & Property
Replacement Cost Value (RCV)
The cost to replace lost property with new items of similar kind and quality — no depreciation.
Last reviewed: May 2026 · Editorial methodology
Definition
The cost to repair or replace damaged property with new materials of similar kind and quality at current prices, without any deduction for depreciation. RCV coverage is more expensive than ACV but provides much better protection after a major loss. Most policies pay ACV up front, then release the depreciation 'holdback' once you complete repairs and submit receipts — keep records of every expense.
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Cover Forge USA Editorial Team
Editorial Lead
This article was researched and written by the Cover Forge USA editorial team against federal sources (NAIC, CMS, FEMA, DOL, SSA, state DOIs) and standard policy forms. Bylines organize content by topic — they do not assert individual licensure. See our editorial-policy for details.
Reviewed 2026-06-14
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