by Marvin Vinson, Sales Executive
GRC (Guaranteed Replacement Cost) coverage pays to replace your building without deduction for depreciation, even if the replacement cost is greater than the limit you selected. You must carry a building value acceptable to VFIS to qualify for this coverage. When you qualify for GRC coverage, there is no coinsurance provision applicable to either partial or total losses.
The term Guaranteed Replacement Cost is designed to provide protection from inflation and other unforeseen costs to replace a property at time of loss. Without GRC, you could be held to a stated limit to replace the damaged property (Replacement Cost) or a depreciated value if insured at ACV (Actual Cash Value) at time of loss.
Please reach out to your Sales Executive or Account Manager for more information on GRC.