Commercial insurance policy

[Paula M.]

Hello,

We are considering a commercial policy for our properties (only 10 SFHs). New to this process and need help understanding the valuation amounts. Agent says I don't have to insure for replacement cost if I don't wish to. Is this wise? If this is an established practice, then how do I derive a valuation figure? How much invested or mortgaged? Any clarity on subject would be greatly appreciated.

Thanks in advance,

Paula