How Much Home Insurance Do I Need?

  1. 16470 POINTS
    David Osgood
    Agent, Rural Mutual Insurance Co., Union Grove, WI
    The best answer that I could provide to this question is; you should at minimum have your home insured for the amount that it would cost to rebuild it should you have a complete loss. Other things to consider with this coverage are additional endorsements to cover personal items that are not properly covered under the homeowner policy. Are you at risk for flooding, you might want to consider a flood insurance policy. Do you have a finished basement? You may want sump and sewer coverage. The list goes on and on. I would also suggest a personal umbrella to every homeowner. All policies are not created equal. Please call your local agent to discuss your specific needs and wants so that he/she taylor a policy that best fits you.
    Answered on April 23, 2013
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  2. 910 POINTS
    Ken Boncela
    Ageny Owner, Farmers Insurance, Ken Boncela Insurance & Financial Services, Oswego, lllinois
    How much home insurance do you want? Do you want a policy for a home loan closing that meets the lender's miniumum requirements?  Do you want to insure a home for what its market value is?  Do you want to insure your home for what it will cost to rebuild it and the necessary costs for debris removal, architectural fees, permits, building code upgrades? The bottom line is that a homeowners policy produced for a mortgage closing is a minor detail but a homeowners policy when your home is damaged is EVERYTHING.  A conversation with an insurance professional will cover these topics relative to your wants to determine just how much coverage you need.
    Answered on April 23, 2013
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  3. 1844 POINTS
    David W. Clausen
    Chief Executive Officer, Coastal Homeowners Insurance Solutions, Rocky Point, NY 11778
    That is a good question. You should maintain as much insurance as it would cost to rebuild your home-including re-engineering the house & carting away debris. We typically calculate that using a per square foot amount. For example, in New York typical rebuild costs around ~$150 per sq.ft of living area although that can vary widely depending upon the year built, quality of construction as well as number of bedroom, bathrooms, kitchens, style of home, garages, etc. I would highly recommend you speak with an insurance professional to discuss your particular situation. Most insurance companies will require the agent fill out a home cost estimator. This is submitted with many applications for insurance and validates the amount the insurance broker feels it would cost to rebuild.
    Answered on August 24, 2015
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