When you have homeowners insurance and your home is robbed or damaged by weather or fire, replacement cost will replace or rebuild your lost/damaged property as accurately as possible.
For example, when your have replacement cost, your insurance provider hires local contractors to replace repair the damage using the same materials and quality of work so that your home won't depreciate in value. Many people add replacement cost on to their homeowners policy because it makes rebuilding homes and damage much easier.
As for the contents of your home, the insurance company will give you the actual cash value of those stolen or damaged contents.
There are many different types of replacement cost policies, so it's important to find the one that best meets your requirements. Guaranteed replacement cost will pay to completely rebuild your home. Other types will pay your policy limits, plus a certain amount above those limits.
For more information about homeowners insurance, contact us today! We're CounterPoint Insurance, an independent insurance agency based in Bedford, New Hampshire. We are also happy to offer free homeowners insurance quotes!
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