You’ve probably asked it—or at least thought about it:
“If something happened to my home… would my insurance actually cover the full cost to rebuild?”
It’s a fair question. And in 2025, with construction costs continuing to rise and materials shortages still causing delays, it’s more important than ever to get clarity on how your home is truly insured.
🚧 The Problem: Market Value ≠ Rebuild Value
Here’s where most homeowners are unknowingly exposed:
Many policies are based on market value, not replacement cost.
That means:
- If your $500,000 home burns down tomorrow, you might only be covered for $400,000.
- Or worse, your policy includes extended replacement limits capped at a level that hasn’t kept up with inflation.
We’ve seen rebuild costs jump 20–40% in the last few years due to labor, material, and code upgrade expenses.
And here’s the kicker: you won’t find this out until after a disaster hits.
🔍 Common Gaps We See in Home Policies Today:
✔️ Coverage based on outdated appraisals
✔️ No inflation guard or automatic adjustment feature
✔️ Missing ordinance or law coverage (for code upgrades)
✔️ Detached structures (garages, sheds) underinsured
✔️ Personal belongings limited below replacement value
✔️ Loss of use (temporary housing) not sufficient
These aren’t hypothetical. These are real issues we uncover every week during Protection Reviews™.
🏗️ What “Full Protection” Looks Like in 2025
A properly structured homeowners policy in today’s market should include:
✅ Guaranteed replacement cost – No cap, no surprises
✅ Ordinance & law coverage – Covers code upgrades and rebuild compliance
✅ Extended loss of use – So you’re not scrambling for temporary housing
✅ Scheduled items – High-value jewelry, art, collectibles specifically insured
✅ Umbrella coordination – In case a liability issue arises during a loss event
This isn’t about bells and whistles. It’s about making sure your policy actually does what it’s supposed to do.
🔐 How This Ties Into Your Protection Plan
This all falls under Pillar 1: Property & Asset Protection in the Three Pillars of Protection™ process.
It’s where we take a hard look at what you think you’re covered for… and compare it to what would really happen in a loss scenario.
🗂️ Next Step: Let’s Do a Quick Coverage Audit
If your homeowners policy hasn’t been reviewed in the last 12–18 months—or if it was set up by a previous agent—it’s time to take a second look.
There’s no cost for the review. No pressure. Just clarity.
👉 [Schedule Your Protection Review™ Here https://calendly.com/prominentins/30min
Final Word
“Insurance shouldn’t be a guessing game—especially with your largest asset.”
Let’s make sure you’re covered for what matters most.