Quote:
Originally Posted by retiredguy123
I was referring to the amount of insurance needed to make you whole. If you receive less than market value from the insurance policy, you will lose money. I would want to receive enough money to buy another house. I wouldn't want to wait 6 months to a year for a new house to be built on the same lot. And who will pay for your housing expenses while the new house is being built? Also, I don't think you can rebuild a house for less than market value because your construction cost will be way higher than The Villages' construction cost.
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Quote:
Originally Posted by kkingston57
A lot of remarks here about market. Was in the biz, person needs to buy insurance based upon the replacement cost based upon the actual construction quality of the home. That amount does not fluctuate like market prices.
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I understand RG's point, but KK's sounds closer to the answer I might be looking for. The actual reconstruction of the building only, seems as if it would be less than market value. Are there standard formulas for different grade reconstruction costs? Do insurers simply say buy this much and you will be more than covered in any loss?