Home Replacement Cost Calculator: Are you underinsured?
Homeowners insurance should rebuild your house — not match its market price. Replacement cost ignores the land and the market, and it's often higher than what you paid. This estimates the dwelling coverage (Coverage A) you need, then the rest of the policy stack. No sign-up, nothing stored.
Replacement cost vs. market value
They're different numbers. Market value includes the land and reflects supply and demand. Replacement cost is only what it takes to rebuild the structure with today's labor and materials. After a total loss you still own the land — so insuring to market value can leave you badly over- or under-covered. Rebuild costs have also jumped with materials and labor, which is why so many homes are underinsured.
The coverage stack
- Coverage A — Dwelling: the replacement cost of the house itself. This is the number this tool sizes.
- Coverage B — Other structures: fences, sheds, detached garage — usually about 10% of Coverage A.
- Coverage C — Personal property: your belongings — commonly 50–70% of Coverage A.
- Coverage D — Loss of use: hotel and living costs while rebuilding — about 20% of Coverage A.
Ask for extended or guaranteed replacement cost
Even a good estimate can fall short after a widespread disaster spikes local building costs. An extended replacement cost endorsement (typically +25%) or guaranteed replacement cost pays above your Coverage A limit to finish the rebuild. For how these endorsements work, read the guides at TheInsurance.Guide.