Home Insurance Updates After Major Renovations: Understand What Your Policy Covers
- Replacement Cost Value (RCV) coverage: Pays for repairs or replacements at current market rates.
- Actual Cash Value (ACV) coverage: Pays based on your depreciated asset's value, minus deductibles.
- Dwelling coverage: Covers structural damage.
- Personal Property Coverage: Covers personal property.
- Liability coverage: Protects you against legal action.
- Other structures: Covers outbuildings, detached garages - sheds, etc.
Consider Your Home's Replacement Cost
Review Your Deductible and Limits
Consider Your Policy Limit
Get Flood Insurance
Check for Discounts
have the highest impact ratings
Protect Your Personal Property
Stay on Top of Policy Changes
8.7 percent
$39
property insurance costs reduces property
Freddie will now accept Actual
actually
Take Advantage of Building Ordinance or Law Coverage
Look for Additional Coverage Options
Don't Forget About Your Home's Location
20 percent
Renegotiate With Your Insurer
Final Thoughts
References
- have the highest impact ratings - kin.com
- 8.7 percent - home.treasury.gov
- $39 - federalreserve.gov
- Freddie will now accept Actual - fhfa.gov
Disclaimer
This article is for general information only and isn't financial advice. Consider speaking with a licensed advisor about your own situation before making decisions.
