Home Insurance Is No Good If It’s Not Enough Coverage
Have you ever considered that you may not have enough home insurance?
Homes are typically insured for the purchase value, plus some small amount for possessions. But would this really be enough if a fire or natural disaster wiped you out?
The home itself should be insured for “replacement cost”, which is what it would take to re-build a similar home on the same lot. That cost varies around the country, but could reasonably run $200 per square foot or more; check with your local contractors.
In addition, a careful inventory of everything you own of value might yield a much larger figure than you expected.
For example, did you count all the jewelry you might not be able to recover in an emergency? How about that antique dining room set you just purchased? One good way to track your valuables is to create a list and store it somewhere outside of your home.
That way, if there is a disaster in your home, your list is safe.
If you do find that you are under-insured, buying extra insurance is never a problem — just call your agent. If you are unhappy with your agent or want additional quotes, you can always call me to ask for referrals.
