I think you get a replacement equal to what you had. Same as renters insurance, actual value or replacement value, read the fine print. If I could just turn in a damaged camera for what I paid for it and get a new one my Nikon D70 would have been damaged a couple of years ago and I would have a newer DSLR.LOL but YMMV

What's in my wallet: Cap1 MC $5K NFCU Sig Visa $20k Amex Zync NPSL Delta Gold $18k BCE $2k Citi Simplicity $5450 Priority Select Visa 5.9K Amazon Visa 4k
Starting Score: 5/2010 550-ish
Current Score: 4/30/2013 TU 800 4/30/2013 EQ 793 1/04/2013 EX(USAA) 779
Goal Score: 800