Replacement Cost Price: What Your Home Insurance Really Covers
Replacement cost price is a key term in home insurance that decides how much money you’d get to rebuild or repair your house after a disaster. This approach skips the issue of how much your stuff or home has aged and focuses on what it would cost to replace things brand new, right now. Many folks mix up replacement cost with actual cash value and leave themselves underinsured. Knowing how to calculate the right number can help you avoid big surprises if the worst happens. This guide breaks down what replacement cost price really means and how to make sure your policy measures up.