08/21/2024
One question we get asked all the time is "Why is my home insured for SO much? There's no way it's worth that much money!" And the truth is, your current home most likely is not worth that much money. Did you know that the standard home insurance policy covers your home for replacement value, that means that if your home was totally destroyed, it would pay you what you would need to rebuild your home, not just what your current home was worth! And this comes in handy especially in a time of constant rising prices. Also, if there were just some damage to your home, it would make sure you had the money you needed to fully repair that damage, just minus your deductible.
The next question is, what about replacement value on the contents of your home? Well that is optional, and something that can make a semi-large premium difference. Read the article below that explains those options, and think about if you want to make an adjustment to your policy.
Call us with any questions on your coverage needs!
Are you wanting to know the difference between actual cash value vs replacement cost? Learn more about these coverage options to see which best suits you.