Property · Insurance Term
Statement of Values (SOV)
Definition
A statement of values (SOV) is a spreadsheet listing each property you want insured, with details like address, construction, size, year built and the values for building, contents and business income. Insurers use it to price your policy and set limits.
In Plain English
An SOV is the backbone of a commercial property submission, especially for owners with several buildings. Each row is usually one building, with its construction type, square footage, occupancy, roof details, fire protection and values.
Values should reflect the cost to rebuild — not purchase price or market value. If they are too low, you can run short of coverage or face a coinsurance penalty. Insurers add up the rows to get your total insured value, which drives premium and, often, percentage deductibles.
Many lenders and insurers ask for an updated SOV every year. Checking it against a building valuation helps keep your insurance to value on track.
Not sure how your policy handles this? Have us review it, or get a quote.
Example
Hypothetical and simplified: an owner's SOV lists a strip center with a $4 million building value and $200,000 of business income, an office building at $3 million, and a warehouse at $2.5 million. The total insured value is $9.7 million. With a 2% wind deductible applied per building, the strip center's deductible alone would be $80,000.
Why It Matters for Texas Property Owners
In Texas, wind and hail deductibles are often a percentage of each building's value as listed on the SOV. An overstated value raises both premium and deductible, while an understated value risks being underinsured. Getting the SOV right matters twice here.
What to Watch For
- Update building values every year using a current rebuilding estimate.
- Include roof type and roof year for each building, since insurers commonly ask.
- Make sure addresses and building descriptions match your lender's records.
- Include business income or rental income values for each location.
Common Questions
Should I use my purchase price on the SOV?
Usually not. Purchase price includes land and market factors. Use an estimate of what it would cost to rebuild each building today.
Who fills out the SOV?
Usually the owner provides the facts, and the agent helps format and review it. Your agent may also suggest a valuation tool or appraisal to check building values.
Last updated October 14, 2026 · Primesure editorial team · How We Write