home insurance

by thayers » Mon Feb 07, 2011 08:19 pm

If our home is paid for can we choose value to insure in state of MIssouri. If so from what company

Total Comments: 7

Posted: Wed Feb 09, 2011 12:23 pm Post Subject:

Yes, it's necessary to know the value of your home as well as the replacement cost. Have you taken an inventory valuation? I guess that's also necessary while considering a home insurance policy. It's natural for an insurer to conduct a physical inspection and ascertain the worth of your home. Only then they'd issue a new policy.

Posted: Mon Feb 14, 2011 11:49 pm Post Subject:

I am assuming you want to insure it for less than the value. If that is the case, you could run into issues if a claim were to arise.

Posted: Mon Feb 14, 2011 11:50 pm Post Subject:

Are you looking to get replacement cost or actual cash value?

Posted: Mon Feb 14, 2011 11:52 pm Post Subject:

If you underinsure a home on a replacement cost policy, you risk paying for replacement cost coverage, but only receiving an actual cash value settlement.

Posted: Mon Feb 14, 2011 11:53 pm Post Subject:

If you under insure your home on an actual cash value policy, you risk getting penalized if you have a claim

Posted: Mon Feb 14, 2011 11:54 pm Post Subject:

You are better off just insuring the home for its value.

Posted: Mon Feb 14, 2011 11:57 pm Post Subject:

Ask you agent about the co-insurance clause, that should help you determine what value you want to insure your home at.

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