Preparing Accurate Total Insured Values (TIVs): Tips, Best Practices, and Common Pitfalls

In today’s risk environment, Total Insured Values (TIVs) are more than just numbers, they’re the foundation of accurate insurance coverage, premium pricing, and strategic risk planning. Still, many corporations struggle to compile, organize, and maintain consistent TIV data. At Valiont, we specialize in helping companies streamline and validate their TIV reporting process, and we’re sharing some of our top tips for preparing complete, accurate, and defensible TIVs.

1. Understand What Belongs in a TIV

Before compiling values, ensure there is a clear understanding of what constitutes a TIV. Generally, a TIV includes:

• Property values (buildings, contents, equipment)

• Business interruption exposures (loss of income, extra expense)

• Other insurable exposures (such as leased equipment, improvements and betterments)

TIVs should reflect replacement cost, not depreciated or market value, unless otherwise specified.

2. Standardize Data Collection Across the Organization

The challenge: One of the biggest obstacles corporations face is inconsistent data entry. Different business units, regions, or facilities may report values differently, or use varying formats, units, or assumptions.

The solution:

• Develop a centralized data template with clear definitions and units of measure.

• Require standardized inputs across all departments.

• Offer training or documentation to ensure everyone knows what is expected and how it influences the outcome.

3. Break Down the Data into Logical Parts

TIVs become more usable and defensible when they are broken into components. For example:

• Buildings vs. Contents: Distinguish between structural assets and movable property.

• Replacement Cost vs. Actual Cash Value: Know the valuation basis being used.

• Location-Level Data: Disaggregate values by address or facility for underwriting and modeling.

  • Ensure that each property has a complete and standardized address including street, city, state, ZIP, and country if necessary.

  • Use a consistent format across all entries to improve sorting and integration with insurance systems.

  • Be cautious of duplicate locations with slightly different naming; ex: "123 Main St." vs. "123 Main Street, Bldg A"—which can lead to double-counting or misallocation.

4. Validate for Completeness and Accuracy

Once data is collected:

• Cross-check for outliers (ex: a 5,000 sq ft office building reported at $500 million)

• Look for gaps (missing addresses, values, or square footage)

• Reconcile with accounting or fixed asset records where possible

• Use logical checks

5. Document Assumptions and Methodologies

Insurance underwriters and brokers will want to understand how values were derived:

• Were estimates used? If so, by whom?

• Are costs based on vendor quotes, internal projections, or third-party valuation tools?

• Was inflation factored in?

Transparency in assumptions helps prevent delays during renewals and ensures confidence in the values.

6. Update Regularly, Not Just at Renewal

Waiting until renewal season to update TIVs often leads to rushed, incomplete submissions. Build TIV updates into your operational cadence:

• Review quarterly or semi-annually

• Align updates with capex or facility changes

• Schedule annual refreshes with internal stakeholders

Final Insight

Accurate TIVs are critical not only for securing proper insurance coverage but also for supporting financial planning, risk management, and compliance efforts. A disciplined, repeatable process with standardized inputs, structured breakdowns, and expert validation can make all the difference!

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This blog is for informational purposes only and does not constitute legal, financial, or insurance advice. Cara Solutions DBA VALIONT makes no representations or warranties as to the completeness or accuracy of the information provided. Always consult your legal, insurance, or financial experts before making decisions.