If you have bought home insurance, it’s a great way to protect your valuable asset. However, if you want optimal coverage, you should buy the right amount of coverage. So, do you have sufficient home insurance? While each homeowner’s needs vary, Family Insurance Associates in Ruidoso, NM has a guide to help you determine the amount of coverage you need.

How much dwelling coverage should I have?

You should invest in enough coverage to rebuild your home from scratch. Typically, if your house is totally destroyed, your insurer will pay the house’s actual value after removing the depreciation. If you don’t want to dip into your pocket after a total loss, you must insure your home against the replacement cost.

You need to talk to your insurance agent for advice if you don’t know about your home’s replacement cost. We have tools to help you get the correct value for your home.

How much content coverage do I need?

Like dwelling coverage, purchase enough content coverage to replace all your assets in the worst-case scenario. However, to ensure everything in your possession has been insured, conduct an inventory count from one room to another to ensure nothing has been left out.

How much liability coverage do I need?

Most homeowners have liability coverage of $100,000. This amount may be sufficient for minor liability claims. However, if you need higher liability coverage, consider liability coverage of about $300,000. But should you need even higher coverage, we advise our clients to consider umbrella insurance or excess liability coverage.

Still not sure you have everything you need to buy the right amount of home insurance? Please reach out to Family Insurance Associates. Our team of experts will analyze your current insurance needs to determine the amount of insurance required.