New Colorado Statute regarding residential total property loss scenarios
The insured produced recently enacted Colorado revised statute CRS 10.4.110.8 Et. seq. This statute was recently enacted by the Colorado State legislature and signed by the Governor on June 2nd 2022. The Statue Tile is §10-4-110.8. Homeowner’s insurance – practices – estimates of replacement value – additional living expense coverage – copies of policies – personal property contents coverage – inventory of personal property – requirements concerning total loss scenarios resulting from wildfire disasters – definitions – rules.
This recently promulgated statute requires the insurer to pay 65% of contents coverage without a written inventory of support.
Notwithstanding subsection (1 i )(a) of this section, offer the policyholder a minimum of sixty-five percent, or a larger percent by mutual agreement of the policyholder and insurer, of the limit of the contents coverage indicated in the declaration page of the policy without requiring the policyholder to submit a written inventory of the contents
The statute also requires the policy must allow an insured to apply payments from other coverages to pay for the loss costs of the main policyholders dwelling if insufficient to pay for rebuilding or replacing the owner occupied residence
