Veronica Mullenix
Veronica Mullenix Real Estate Group
9550 Spring Green Blvd. #408-174, Katy, TX77494
Veronica MullenixO: 281-844-6285C: 281-844-6285

Understanding Guaranteed Replacement Cost Insurance

Most adults have three or more types of insurance. Health insurance, car insurance, homeowner’s insurance – the list of items you need insured may often feel endless. But what is guaranteed replacement cost insurance?

Guaranteed replacement cost coverage is the most comprehensive insurance policy, and will pay to rebuild your home even if the cost to rebuild is more than your policy limit.

Of course, this kind of coverage is more expensive and can cost from about $400 to $1,000 a year or more, depending on the area and the price of the home.

However, even if you can afford it, this insurance is not available everywhere or for every property. For example, older homes may not be eligible. And some big insurance companies have begun to limit the amount they will pay to 120 percent of the policy's face value.

If you’re interested in guaranteed cost replacement insurance, talk to your lender today.

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