When you choose an insurance policy for your property in Florida, one of the decisions you need to make is how much coverage to buy. This is not always a straightforward thing. You have many considerations to make. It requires understanding what the policy covers and what coverage you actually need.
According to the Insurance Information Institute, you need to think of two different amounts when figuring your property insurance. First, you have to figure out how much you would need to rebuild your home. Second, you have to determine the replacement costs for your possessions.
When it comes to rebuilding costs, you need to think about labor and supplies. You need to consider any upgrades required due to new laws or regulations. Also, think about special features that may require extra work. You may get estimates to help you come up with an accurate figure. Make sure you think about a total loss when coming up with your costs.
For your possessions, just take an inventory of your household goods. You may find you need extra coverage for certain items. For example, your policy may not offer regular coverage for electronics or expensive items, such as jewelry. You should make sure you catalog everything as well. That comes in handy if you do need to make a claim.
You should work with your insurance agent to develop the right coverage. You want to be sure that you get a big enough policy because if something does happen, you need to know it will cover your losses. This information is for education and is not legal advice.