Double-Check Homeowners Coverage


The gist of most homeowners-insurance advice is: make sure you have enough. Knowing how much ‘enough’ is can be the tricky part, especially if you’re looking for insurance for a high-value home.

Luxury homes often have features not found in typical homes, anything from structures like a pool oasis to finishes like marble flooring. Purchasing high-value home insurance from a company that specializes in that market is a good way to ensure that your home and its belongings will be properly valued.

Kelly Klee works exclusively with five such companies. We also have the expertise to evaluate your home and its contents so that we can recommend coverage levels and the types of coverage to pay for full replacement in the event of a loss. If you’re not presently a Kelly Klee customer, we would welcome the opportunity to do a no-obligation assessment of your homeowners insurance needs and make a recommendation tailored specifically for you.

Additionally, you can double-check your coverage by using any of the following methods:

Get an Appraisal

The high-end insurance companies that Kelly Klee works with offer appraisals, or you can pay for your own. A professional appraiser will bring an expert eye and knowledge about the housing market to give you an accurate estimate of replacement costs. So if, for example, there is a building boom in your area, the appraiser will be on top of current construction rates.

Ask Your Neighbors

If you live in a neighborhood with luxury homes and have a friendly relationship with your neighbors, they can be a good source of information. How did they calculate the right coverage level for their home? Do they have any tips or ideas you can learn from?

Use Estimating Software

United Policyholders, a nonprofit resource for insurance consumers, recommends a residential calculator available through e2Value. The company also provides calculators for commercial and farm/ranch properties.

Do the Math

Figure out the rough per-square-foot amount you’d receive under your current policy by dividing the maximum value of your insurance policy by the number of square feet in your home. Do some research on the average cost to rebuild a home like yours in your area by talking to a couple local contractors. See if your per-square-foot amounts are similar or not, then adjust accordingly.

Account for Changes

Insurance policies stay static, while most people’s homes are constantly changing. Perhaps you purchased a grand piano, added an outdoor kitchen or filled out a wine collection on your last trip to France. As you accumulate new items, remodel or make other home improvements, the amount of homeowners coverage you need will change.

Double-checking your homeowners policy annually is a smart move, especially for high-value homeowners who have more to lose. Kelly Klee is here to assist you with the process at any time. Please contact us here.