Florida Home Insurance Quote – Importance of Replacement Cost Contents

Being in the market for a Florida home insurance quote can be difficult. You receive many quotes with different rates and limits. Why do the rates vary so widely between agencies? There is a clear reason.

Often times you will receive a quote by two different agents for the same company with similar limits. However, an estimated price discrepancy between $75-$250 exist. Why is this? You know the rates are all state filed and agents can’t have different prices than the carriers allow.

The most common reason is the lower priced agent didn’t include replacement cost for contents. The quote is set for actual cash value if a loss occurs. Basically, what this means is that even if your policy has $150,000 worth of personal property coverage, if a loss occurs, the adjuster will account for depreciation in figuring out what your contents are worth today. So, for example, if you bought a couch for $5,000 ten years ago, you might receive $500 for that couch under actual cash value.  For a little more premium, and under replacement cost for contents, you will receive $5,000 for that couch.  Depreciation is out of the equation.  I wouldn’t sacrifice receiving a fraction of what my contents are worth if a peril hits my home.  Would you?

Contact us at 352-200-2066 today so that we can tailor Florida home insurance for you that will indeminfy you in the even of a loss.


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