Posted On: April 17, 2007, 9:02 am CDT

Posted By: Jewel

"I wish I had a $ for every time I've tried to explain the difference between market value and replacement cost, and the need to insure to value (both HO's and flood)."

Thank you for the information. I think I was confused because you talked about market value vs. replacement cost and then said the home should be insured to value (I thought you were talking about market value which didn't make any sense to me). I see now what you meant... I am glad I asked you to clarify instead of just assuming and biting your head off. It's just polite, right?

As for the rest of it, that makes sense to me which is why I am going to see my agent tomorrow. I think I am underinsured based on replacement cost. I have been seeing $125 per sq. ft., etc. for rebuilding. My home is only insured approx. $100 per sq. ft. As far as land is concerned, they don't give you much nowadays in Florida huh? :) I doubt my land is worth much... I am more looking to ensure I have enough for "replacement cost" since my market value is much higher even without the land value.

With regards to cost to rebuild, how does one take into account a garage which I would think is less costly to rebuild (per sq. foot)?

Again, I appreciate the clarification and helpful information!