On Oct. 29, the Second District California Court of Appeals reversed a $197,939 economic damages award awarded to victims of the October 2003 California wildfires in Larry Stone, et al. v. Fidelity National Ins. Co., finding that the trial court erred by finding that the insureds were excused from the condition precedent of repairing the home before making a claim for replacment cost value.

In the Nov. 6 issue of Insurance Bad Faith, David Cox of Dickstein Shapiro noted that, in light of the recent wildfire property losses in Southern California, this decision very timely provides guidance to both policyholders and insurers on actual cash value v. replacement cost value issues.

Can you share any valuable guidance on these very timely issues?