Insurance - ACV vs. Replacement Cost policies

[Payton Gonzales]

In contract on a 4-plex right now in Ohio that was built around 1930.  For background, there is some termite damage on it,that should be taken care of prior to close, as well as some other minor fixes to the roof, basement, etc.

I received a quote for the building for an After Cost Value (ACV) policy, which was about 40% of the Replacement Cost policy.  

I understand the question is more on my tolerance for risk, but what are folks' thoughts on the difference between the two types of policies for investors?

Thanks in advance for any replies!