Replacement Value is most often used for insurance.
Replacement Value is the highest amount that would be required to replace a property with another of similar age, quality, origin, appearance, provenance, and condition within a reasonable length of time in an appropriate and relevant market.
These appraisals are often needed after a catastrophic even such as a fire or total loss of a classic or collector car. An appraiser must be able to access the damage, identify the vehicle either physically or by photos. The appraiser will then assess the cost to replace that vehicle in the open market at the highest amount similar in age, quality, origin and appearance. A Replacement Value Appraisal might be requested by an insurance company or court after an accident or total loss claim.
I use current market data from trusted sources as well as comparables from the open market for sold and listed values. My average replacement value appraisal takes 12 hours to research and write the appraisal report. I include photo documentation with all my appraisals, easy to read and understand report, as well as a letter of appraisal to be used as proof of value for your needs.