Homeowner's Insurance up 20%!

[dougp26364 Senior Member Find all posts View Profile Close dougp26364]

Replacement cost is not linked to the market value of your home. The replacement cost is generally based on the square footage of your home multiplied by the average construction cost per square foot in your area. We bought our home new in 2002. The market value of the home increased about 80% at the peak in late 2006 and has since dropped about 35%. Replacement cost has risen since 2002 but is still much lower than the market value.

My homeowners insurance has increased a total of 20% over the past 5 years and is now $873 /year. I just received my renewal notice a couple of weeks ago.

I don't seem to have that problem where I live. I believe my replacement cost is still higher than our market valule of our home. I guess that's one good thing about living in KS. The cost of housing remains reasonable.