Section 210-60-010 - Standards for prompt, fair and equitable settlements applicable to fire and extended coverage type policies010.01 Replacement Cost Coverage When the insurance policy authorizes for the adjustment and settlement of losses based on replacement cost, the following shall apply:
010.01(A) When a loss requires repair or replacement of an item or part, any consequential physical damage incurred in making such repair or replacement not otherwise excluded by the policy, shall be included in the loss. Repair or replacement of consequential physical damage which requires the use of materials which are better or superior to the damaged materials shall not be considered betterment unless the use of such materials is at the request of the insured.010.01(B) When a loss requires replacement of items and the replacement items do not reasonably match in quality, color or size, the insurer shall replace all items in the area so as to conform to a reasonably uniform appearance. This applies to both interior and exterior losses. The insured shall not bear cost over any applicable deductible.010.02 Actual Cash Value Coverage When the insurance policy provides for the adjustment and settlement of losses based on actual cash value, the following shall apply:
010.02(A) The insurer shall determine actual cash value, and shall provide a copy of the worksheet(s) detailing any and all deductions.010.02(B) In cases in which the insured's interest is limited because the property has nominal or no market value, the insurer shall provide a written explanation of the basis for limiting the amount payable.210 Neb. Admin. Code, ch. 60, § 010