Which of the following factors does NOT impact the valuation of a building under property insurance?

The factor that does not impact the valuation of a building under property insurance is the type of insurance policy in place. While various types of insurance may determine the extent of coverage, such as replacement cost versus actual cash value, the underlying value of the property itself is influenced by other factors.

Location is critical as it affects the desirability and potential hazards associated with the property. Construction materials are significant because different materials can influence the cost of rebuilding or repairing the structure. Market demand impacts property values based on supply and demand dynamics in the area, which can fluctuate and ultimately affect the overall valuation.

In contrast, the type of insurance pertains more to the contractual terms and coverage level rather than influencing the intrinsic value of the building itself. Thus, it does not have a direct effect on how the property is valued for insurance purposes.