How does my property value affect my homeowner’s insurance?

Great question! We offer a replacement cost guarantee of 25% or 50% on most our homeowners policies, which goes above and beyond the dwelling coverage. We do this to protect our customers in the event of inflation or high demand, which would result in a sudden higher cost to rebuild if an incident occurs.

While this could be sufficient in some cases, you may want to increase your liability limits if you are noticing your property’s value increasing. For example, if your home has a market value of $450,000 but your liability is only $100,000, you should increase your liability to cover your assets. This increased liability coverage would protect you from needing to dip into your assets in the event that something unfortunate happens.

When considering the value to insure your dwelling (Coverage A on a homeowners’ policy), remember to exclude the value of land.

Please let us know if you have questions about your current policy limits! You may complete the form below to get in touch with us!