Property Valuation
What is 'insurable value' in the context of Delaware real estate?
AThe market value of the property
BThe value used to determine the appropriate amount of property insurance, typically based on replacement cost of the improvements (excluding land)✓ Correct
CThe assessed value used for property tax purposes
DThe minimum value a lender will insure for a mortgage
Explanation
Insurable value is the value used to set insurance coverage amounts, typically based on the replacement cost of the improvements (structures) only. Land is excluded because it cannot be destroyed by fire or most insurable perils.
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