1. Whenever any insurance policy is written or renewed to insure any real property in this state, including structures owned by persons other than the insured, against loss caused by or resulting from any covered cause of loss and the insured property is wholly or completely destroyed by any covered cause of loss without fraud on the part of the insured or the insured's assigns, the amount of the insurance written in the policy is the true value of the property insured and the true amount of loss and measure of damages, subject to the following conditions: a. If the covered loss occurred within sixty days after the policy effective date or within sixty days after the policy limits were increased by twenty -five percent or more at the insured's request, the loss payable to the insured for covered loss incurred during the first sixty days is the lesser of: (1) The full value of the policy; or (2) The amount paid in accordance with the policy provisions as if a partial loss occurred. b. Subdivision a does not apply to: (1) Renewal policies with policy limits increases of less than twenty -five percent; (2) Policies for which limits have increased twenty -five percent or more due to the construction of additions; or (3) Policies for which the increased limits were approved by the insurer before the loss. c. Builder risk policies of insurance covering property in the process of being constructed must be valued and settled according to the actual value of that portion of construction completed at the time of any covered cause of loss. d. In case of double insurance, each insurer shall contribute proportionally toward the loss without regard to the dates of the insurance policies. 2. This section does not apply as to personal property or any interest in the personal property. 3. This section does not apply to any claim for loss of an appurtenant structure or separate structure. Any claim for loss of an appurtenant or separate structure must be settled for actual replacement cost or actual cash value, depending on the policy provisions applicable to the structure, unless an appurtenant or separate structure is individually described in the policy and a value is assigned to that specific structure before the loss.
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