When getting home owners insurance, you have to estimate the value of the
dwelling and personal properties.
Would you esimate the dwelling value by market value of the property minus
the land value? or would you estimate it some other way?
For personal properties, what is considered personal properties? clearing
jeweley, furniture etc...are personal properties but what about appliances?
kitchen cabinets? built in wardrobes, ceiling fans, wall mount plasma TV
etc...? Do you calculate replacement value or current worth?
Add up everything you own at the cost you paid for it. Multiply that by
five. Add forty percent.
That is the figure you should turn in. By the time you apply deductibles,
have to prove what you paid for it and provide receipts, what you will end
up getting will be about half of what you really lost.
Hope this helps.
Look at it this way; If your home were destroyed by fire
would you want enough money to pay off the mortgage or enough
to rebuild the house? I have mine insured for what it would
cost to rebuild it in todays dollars.
Property is what you keep in your home and includes everything
that you would want replaced if it were burned up or stolen.
Everything that is not real estate. The law changes from state to
state, but in general, if it serves the purpose of the building and is
attached to the real property than it is real estate.
You should check with the insurer as to what definition they are using.
Generally I would consider appliances as personal, cabinets, built in
wardrobes and ceiling fans as real. TV's including wall mounted plasma as
I believe most insurance policies would want replacement value. at least
that what I have and I would want. You need to check.
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