Insure for Replacement Cost?

[burghMan]

[quote=Raybyrnes]You could be a fool and go for an ACV (acutal cash value) policy. Sounds like your insurer is simply doing a good job. In the event something happened, you would appreciate the fact that you had professional service[/quote]

The representative from USAA told me that they won’t insure for less than replacement value without any explanation. When I asked why this is a requirement, she seemed completely perplexed and just repeated that was the “rule.” Hardly what I would call “doing a good job” or “professional service.”

I’m a fool for just blindly accepting what some clueless phone rep tells me?

I know some people put USSA on a pedestal – and they are a great company for many things – but they aren’t perfect all the time.

[burghMan]

[quote=UCGal] […]When you have a large number of displaced households it may not be as easy to buy the replacement house down the street.[/quote]

True, and I considered this. But we are not in a high-risk fire area (little vegetation, pretty deep into the “burbs”). It would take a wildfire 100 times bigger than anything CA has ever seen to reach our neighborhood, so I don’t consider this to be a risk.

I do wonder what would happen if a tract house is “totaled” and then abandoned because it is not worth it to repair. Are there laws against this? Does the HOA get involved? Anyone know of any examples of an “empty lot” in a suburban tract neighborhood that is the result of a house burning down and never being rebuilt?

[burghMan]

[quote=UCGal] […]When you have a large number of displaced households it may not be as easy to buy the replacement house down the street.[/quote]

True, and I considered this. But we are not in a high-risk fire area (little vegetation, pretty deep into the “burbs”). It would take a wildfire 100 times bigger than anything CA has ever seen to reach our neighborhood, so I don’t consider this to be a risk.

I do wonder what would happen if a tract house is “totaled” and then abandoned because it is not worth it to repair. Are there laws against this? Does the HOA get involved? Anyone know of any examples of an “empty lot” in a suburban tract neighborhood that is the result of a house burning down and never being rebuilt?

[burghMan]

[quote=UCGal] […]When you have a large number of displaced households it may not be as easy to buy the replacement house down the street.[/quote]

True, and I considered this. But we are not in a high-risk fire area (little vegetation, pretty deep into the “burbs”). It would take a wildfire 100 times bigger than anything CA has ever seen to reach our neighborhood, so I don’t consider this to be a risk.

I do wonder what would happen if a tract house is “totaled” and then abandoned because it is not worth it to repair. Are there laws against this? Does the HOA get involved? Anyone know of any examples of an “empty lot” in a suburban tract neighborhood that is the result of a house burning down and never being rebuilt?

[burghMan]

[quote=UCGal] […]When you have a large number of displaced households it may not be as easy to buy the replacement house down the street.[/quote]

True, and I considered this. But we are not in a high-risk fire area (little vegetation, pretty deep into the “burbs”). It would take a wildfire 100 times bigger than anything CA has ever seen to reach our neighborhood, so I don’t consider this to be a risk.

I do wonder what would happen if a tract house is “totaled” and then abandoned because it is not worth it to repair. Are there laws against this? Does the HOA get involved? Anyone know of any examples of an “empty lot” in a suburban tract neighborhood that is the result of a house burning down and never being rebuilt?

[burghMan]

[quote=UCGal] […]When you have a large number of displaced households it may not be as easy to buy the replacement house down the street.[/quote]

True, and I considered this. But we are not in a high-risk fire area (little vegetation, pretty deep into the “burbs”). It would take a wildfire 100 times bigger than anything CA has ever seen to reach our neighborhood, so I don’t consider this to be a risk.

I do wonder what would happen if a tract house is “totaled” and then abandoned because it is not worth it to repair. Are there laws against this? Does the HOA get involved? Anyone know of any examples of an “empty lot” in a suburban tract neighborhood that is the result of a house burning down and never being rebuilt?

[an]

I personally rather be over insured than under insured. The difference is only a hundred or two a year. That’s worth it for a piece of mind that if something happen, you’re completely covered. I end up going with AAA. They end up being the cheapest for me as well as having a full replacement coverage. So, regardless of how much it cost to rebuild, they’ll pay for it. No chance of being under insured.

[an]

I personally rather be over insured than under insured. The difference is only a hundred or two a year. That’s worth it for a piece of mind that if something happen, you’re completely covered. I end up going with AAA. They end up being the cheapest for me as well as having a full replacement coverage. So, regardless of how much it cost to rebuild, they’ll pay for it. No chance of being under insured.

[an]

I personally rather be over insured than under insured. The difference is only a hundred or two a year. That’s worth it for a piece of mind that if something happen, you’re completely covered. I end up going with AAA. They end up being the cheapest for me as well as having a full replacement coverage. So, regardless of how much it cost to rebuild, they’ll pay for it. No chance of being under insured.

[an]

I personally rather be over insured than under insured. The difference is only a hundred or two a year. That’s worth it for a piece of mind that if something happen, you’re completely covered. I end up going with AAA. They end up being the cheapest for me as well as having a full replacement coverage. So, regardless of how much it cost to rebuild, they’ll pay for it. No chance of being under insured.

[an]

I personally rather be over insured than under insured. The difference is only a hundred or two a year. That’s worth it for a piece of mind that if something happen, you’re completely covered. I end up going with AAA. They end up being the cheapest for me as well as having a full replacement coverage. So, regardless of how much it cost to rebuild, they’ll pay for it. No chance of being under insured.

[Hobie]

The full replacement policy also covers your apartment rent while the damage is being repaired on your home.

Don’t skimp on this insurance. By saving a couple a hundred now may in fact cost you way more if you have a claim.

Spend a little time photographing and documenting everything you own and put it in a safe deposit box off site. Even your computer backup data. This will save you much grief in the event of a loss.

Good luck.

[Hobie]

The full replacement policy also covers your apartment rent while the damage is being repaired on your home.

Don’t skimp on this insurance. By saving a couple a hundred now may in fact cost you way more if you have a claim.

Spend a little time photographing and documenting everything you own and put it in a safe deposit box off site. Even your computer backup data. This will save you much grief in the event of a loss.

Good luck.

[Hobie]

The full replacement policy also covers your apartment rent while the damage is being repaired on your home.

Don’t skimp on this insurance. By saving a couple a hundred now may in fact cost you way more if you have a claim.

Spend a little time photographing and documenting everything you own and put it in a safe deposit box off site. Even your computer backup data. This will save you much grief in the event of a loss.

Good luck.

[Hobie]

The full replacement policy also covers your apartment rent while the damage is being repaired on your home.

Don’t skimp on this insurance. By saving a couple a hundred now may in fact cost you way more if you have a claim.

Spend a little time photographing and documenting everything you own and put it in a safe deposit box off site. Even your computer backup data. This will save you much grief in the event of a loss.

Good luck.

[Author]

Posts