Insurance Quotes | Insurance Learning Center

Guaranteed Replacement Cost Coverage - Inflation Guard Endorsement

Guaranteed Replacement Cost Coverage

Guaranteed replacement cost coverage is the most complete coverage for your home. To obtain this type of coverage, you typically must meet specific underwriting rules and conditions of the company. This may include increasing the amount of your insurance on a monthly, quarterly, or yearly basis to keep up with the inflation rate.

Inflation Guard Endorsement

If the replacement cost of your home is increasing with inflation, your policy limits must be periodically increased to maintain your coverage at 80 percent or higher. Even though the amount of homeowners insurance you carry is at least 80 percent of your home replacement cost, this amount of coverage may not be enough in the future. This endorsement will allow your insurance company to automatically change your policy limit during the policy period. Normally, the higher premium is not paid until the time of renewal.

Home Owner Insurance Quote

State Insurance Center | Insurance Leads