about home-owners insurance, it’s important to consider dwelling coverage and
to ensure that
you have an adequate amount for your home. Read on to know more about
coverage, from how much you should have to calculating the replacement cost of
What is dwelling coverage?
If your home should become destroyed for any reason, or become uninhabitable due to damage, then dwelling coverage should help you cover the costs of rebuilding it. This coverage is mainly concerned with the structure of your home, the materials it was built with and anything that might be attached to it, such as a garage or porch.
How much dwelling coverage do you need?
You would of course need enough coverage to equal the cost of replacing your home, but it can be tricky to calculate this. Here are 3 steps that should get you close to an accurate estimate:
1. Multiply the square footage of your home by the local construction costs
These costs can be found on the websites of most construction companies, or you can ask your local insurance agent to help you out.
2. Use an online calculator to get a second estimate
Free online calculators are available to help you, that use the square footage of your home, building materials and total number of rooms to give you a fairly accurate replacement cost.
3. Get an estimate from a professional
Independent insurance agents local to the area will be able to help you calculate a highly accurate estimate of the replacement cost of your home.
What factors might affect the replacement cost?
There are several factors that might affect the replacement cost of your home, and as these can change, it’s best to reassess the cost every couple of years: