Inflation Guard

Inflation guard coverage is an optional endorsement that can be placed on your homeowner insurance policy to protect the rebuild cost of your home from inflation. As we all know, the dollar will get you less and less each year. The amount of coverage that you have on your policy should be reviewed periodically to ensure that you have enough coverage on your policy to rebuild your home. If you were to purchase a homeowners insurance policy and had not changed the dwelling coverage over a long period of time you would see that you would be extremely under insured. Generally, the inflation guard coverage endorsement can be placed on a homeowner insurance policy. It will automatically raise the dwelling coverage on the policy by 4 percent each year. This is designed to help protect the consumer from being under insured. Although the median home purchase price has declined significantly over the last couple of years, the cost of rebuilding a home has not. You can actually purchase a home now for less than your could have a home built. In the event of a total loss of your home, you will not have the option to purchase a new home. Your only option will be to rebuild the home that you had. It is recommended that you review your coverage periodically and not rely exclusively on the inflation guard coverage. Your agent should be able to calculate the estimated cost of rebuild for your home based upon the specific characteristics of your home. Request your quote online today or call 530.923.2930 License 0G13612.