How do I calculate the rebuilding cost as compared to market value when requesting home insurance quotes?
An agent should be able to calculate this for you. At my company we either go by the cost approach value on a recent property appraisal, or we use the Xact Value tool to find an appropriate coverage amount. This is the same program used by our adjusters in the case of a claim. Be prepared to answer a lot of questions about your home’s construction, such as square footage, flooring materials, the number of bedrooms and bathrooms, etc, etc, etc. It may be a little time consuming, but it’s worth it to know that you’re getting the coverage you need on your home, and getting quotes for the same amount of coverage when you’re shopping.
