§ 26.1-39-04 — Measure of indemnity on fire policy

If there is no valuation in the policy, the measure of indemnity in an insurance against fire is
the full amount stated in the policy. If there is a valuation in the policy, the valuation is conclusive
between the parties in the adjustment either of a partial or a total loss if the insured has some
interest at risk and there is no fraud on the insured's part. In the event of a partial loss, the
insurer is liable only for the proportion of the amount insured as the loss bears to the value of
the whole interest of the insured in the property insured. A valuation fraudulent in fact, however,
entitles the insurer to rescind the contract. The provisions of this section may not be construed
as a revocation of any of the rights of insurers delineated in section 26.1-39-05.