Frequently Asked Questions
Replacement cost is replacing your covered building with materials and labor at today’s cost of construction. This valuation also includes the cost for debris removal. The city/town assessments are valuing your building(s) “as-is” and includes depreciation. This is the reason your insurance company has a higher value on your home or building than the tax assessment does. Additionally, if you do not insure to the replacement value calculated, a co-insurance penalty could apply to a loss, causing a considerable decrease to the amount the insurance company pays towards a claim.
Please visit our online Claims Center.