Evaluating Replacement Cost


Growing up, I loved reading the tale of “The Three Little Pigs,” never thinking much of how the story could ever relate to my adult life. As an occupational hazard, I often think now of the second little pig: “How is he going to rebuild his house of sticks that the wolf blew down?”

The post The Three Little Pigs and the price of a stick house appeared first on The Cincinnati Insurance Companies blog.

Remodeling and renovation projects can add significantly to the value of your home. Whether you do it yourself or hire a contractor, remember to update your homeowner insurance as you increase your home’s value.

The post Remodeling, renovation can affect home’s value 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.
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