acpme_IHB
New member
My homeowners insr is up for renewal and I decided to shop around this yr given insr companies might be more competitive than in yrs past. I'm also wondering whether replacement costs have changed given the current environment, or whether those changes are not big enough to warrant fiddling with my insr coverage.
My current insr is with Western Mutual which recommended by the builder, CalPac. They estimate the dwelling replacement cost at $115/sq ft. State Farm and AAA are estimating between $150-160/sq ft, which is closer to what I would have estimated myself. What could be the reason for such a disparate difference?
The things I could think of might be:
- Western Mutual got their numbers from the builder, which had lower building costs initial compared to a single rebuild. I would think the insr co would know that though.
- Since they got their numbers from the builder, WM knows just how cheaply done the actual construction was and is estimating based on a similar cheaply-done rebuild.
My current insr is with Western Mutual which recommended by the builder, CalPac. They estimate the dwelling replacement cost at $115/sq ft. State Farm and AAA are estimating between $150-160/sq ft, which is closer to what I would have estimated myself. What could be the reason for such a disparate difference?
The things I could think of might be:
- Western Mutual got their numbers from the builder, which had lower building costs initial compared to a single rebuild. I would think the insr co would know that though.
- Since they got their numbers from the builder, WM knows just how cheaply done the actual construction was and is estimating based on a similar cheaply-done rebuild.
