Massachusetts General Laws Part I. Administration of the Government (Ch. 1-182) Ch. 175, § 99B

(1) a loss settlement clause which provides functional replacement or repair cost coverage;

(2) which otherwise limits an insurer's liability for property loss to the tax assessment value of the insured unit or structure; or

(3) which otherwise requires actual cash value loss settlement calculations to be based upon the fair market value of the insured unit or structure, net of land value, without consideration of replacement cost less accrued depreciation due to physical deterioration and functional and economic obsolescence; provided, however, such policy forms shall not be issued or renewed when the market value of the unit or structure proposed to be insured is less than the total amount of mortgage liens outstanding upon such unit or structure at the time of policy issuance or renewal.

The commissioner shall compose and require, as a condition of approval of any alternative loss settlement clause pursuant to clause (c), appropriate consumer disclosure forms to be used by companies issuing such policy forms in the commonwealth. Policy forms approved under this section need not correspond to the standard fire insurance policy set forth in section ninety-nine, but shall, except for the loss settlement provisions of any such approved policy, assure to the policyholders and claimants protection no less favorable than such policyholders would be entitled to under section ninety-nine and shall otherwise conform to the substantive requirements of that section.