Understanding the figures in your home policy.

You invest a lot in your home, and you spent time and funds protecting it and maintaining it. With a bit of consideration and understanding, you can rest easy knowing you have a well-thought-out policy in place. There are several figures that play a role in the insurance you choose for your home and how much you pay for it. Here is just a handful of them.


Your deductible is the amount of money you will have to pay out of your own pocket before your insurance kicks in. When you choose a higher deductible, your monthly premiums may go down but you take on more responsibility for the cost of repairs. Knowing your deductible helps you know how much of your own money you should set aside for any potential claims.

Value of Personal Belongings

Your homeowners insurance covers many of. Your possessions in your personal property coverage. You should know the total value of your possessions so that you can acquire adequate coverage for all of your belongings. Also, check whether your belongings are covered for replacement cost or actual value. Since replacement cost value ignores depreciation, you can most likely replace a destroyed or stolen item with a similar one that’s brand new. Actual value factors in depreciation, meaning the replacement might be used.

Replacement Cost Value

This is the amount for which you insure your home. It is based on what it would take to rebuild your home today. Remember that replacement cost value is independent from the market value, which is the price your home could get on the current real estate market. 

Are you ready to secure suitable homeowners insurance? The team at Tompkins Insurance Agencies can help you find the right coverage and rates for your needs. Contact us today.