Evaluating Replacement Cost


When you buy home insurance, the amount of coverage you purchase should be the amount that it would cost to rebuild the home. Insurers have generally used home inspections to help determine home value. But since the pandemic hit, travel restrictions prevented on-site home visits.

The post Pandemic put spotlight on virtual home inspections appeared first on The Cincinnati Insurance Companies blog.

If you are like millions of other people, during the pandemic you have made improvements to your property. Whether you installed a pool, remodeled rooms or finished your basement, now is a good time to check in with your independent agent to ensure your homeowner coverages are still adequate.

The post Insurance can protect your pandemic renovations appeared first on The Cincinnati Insurance Companies blog.

Buying a home is the biggest and most valuable purchase most people make. Many factors could draw you to a home: location, price, updated countertops or a large yard. The home inspection offers the buyer a deeper look into how the home has been maintained or whether it needs costly repairs.

The post Inspection gives home buyer a deeper look appeared first on The Cincinnati Insurance Companies blog.

When shopping for homeowner insurance, you may hear the terms “market value” and “replacement cost” multiple times. It’s important to have a grasp of the difference. They are not interchangeable.

The post What would it cost to repair or rebuild your home? appeared first on The Cincinnati Insurance Companies blog.

Does your homeowner policy have sufficient coverage limits to help you recover fully after a loss and avoid incurring serious financial burdens? It’s a question many people don’t ask, and if they have a claim, it can leave them with unexpected expenses.

The post Are you covered? Don’t be caught underinsured appeared first on The Cincinnati Insurance Companies blog.


The cost to rebuild your home can vary greatly from the market value. Replacement value reflects a contractor’s bid to replace the materials and special features of your home. Because each home is different, it's important to have experts evaluate the cost to rebuild to help your agent ensure that you have proper coverage if you experience a minimal loss to your home or need to totally rebuild it.

Consider these important considerations:

  • Year Built – The average cost to rebuild a home constructed before 1945 can be roughly double the replacement cost of modern homes.
  • Architectural Style – There is a wide variety of architectural styles, including Tudor, Colonial, Georgian and Modern. Each style has unique features that maintain its authenticity and factor significantly in rebuilding costs.
  • Location – Obstacles to site accessibility in remote, urban and mountainous areas can increase labor costs, driving up total construction costs.
  • Shape – The footprint of the home can also significantly affect the replacement cost; multiple angles or curved walls require additional engineering.
Our loss control service is advisory only. We assume no responsibility for management or control of customer loss control activities or for implementation of recommended corrective measures. This content was gathered from trade services and public information and does not identify or address all possible exposures. We do not warrant that this information is consistent with the underwriting guidelines of The Cincinnati Insurance Company and its subsidiaries or with any federal, state or local law, regulation or ordinance.
To report a claim: You may call us directly, 877-242-2544, to report your claim and provide us with your claim-related information. You may also contact your independent agent to report a claim.

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