I’ve been shopping around for home insurance and contacted two brokers, plus did an online quote with Geico. The suggested Coverage A limits for my house are all over the place: one broker recommended $350K, the other $497K, and Geico suggested over $600K.
For context, the assessed value of my house for tax purposes is $100K for the land and $380K for the house. I understand that the insurance limit should reflect the actual cost of rebuilding, considering today’s labor and material costs, but Geico’s $600K+ suggestion seems incredibly high. Could they be right?
How do I determine which limit to go with when the recommendations vary so much? I don’t want to underinsure, but I also don’t want to overpay. Any advice on how to approach this would be greatly appreciated!