“Replacement
cost” insurance is a type of property insurance coverage that generally pays
for the “depreciated” value of the damaged property.
Subsequently, the actual cost of
restoring the property would most likely require additional funding from you to
renew the property to its condition at the time of the loss.
If you find yourself in this
situation, be sure to complete the repairs on the damaged property as soon as
possible as most policies have a time limit for payout. Also maintain accurate records regarding all
expenditures incurred in the restoration of the property.
Contact your favorite insurance agent
(Mike Carter, Andrea Shearer, or Tessa Everman) at the Triplett Companies
(515/232-5240) today for additional insight and
information regarding the “replacement cost” clause of your property insurance
policy.
