We have a loan on a convenience store located in a flood zone. Convenience store has a canopy, gas pumps and a sign....all of which have separate hazard insurance policies on them and all of which are used as collateral on our loan. Flood regulation states that "Flood insurance coverage under the Act is limited to the building or mobile home AND any personal property that secures a loan and not the land itself." Would the canopy, gas pumps, and sign be considered personal property and therefore require flood insurance? Trying to determine if flood insurance coverage amount needs to include only the building or the building and this other property (canopy, gas pumps, and sign) on the premises. Thanks!

Flood insurance insures buildings and optionally, the contents within those buildings. Such other stuff located on the property would not be covered if they do not qualify as a building.

So our appraisal of the property does include a section on RCV with a base cost for the c-store and the fuel island canopy, plus a profit and indirect costs which all total the replacement cost new.

For example: $300,000 base RCV for c-store
$50,000 base RCV for fuel island canopy
$100,000 profit and indirect costs
So $450,000 total replacement cost new

The appraisal then provides a less accrued depreciation section, which contains physical deterioration costs of:
$140,000 for c-store
$15,000 for fuel island canopy
So $155,000 total accrued depreciation

Based on this information can someone guide me as to how to calculate how much insurance we need on the c-store (only)? Thanks!

c-store $300,000 - depreciation $140,000 = $160,000

Must be in bad shape.