Is the Insurance Coverage You Selected Keeping Up with Your Home?

Gregory Frankowiak

By Greg Frankowiak, Vice President, Underwriting

Your home is one of the biggest investments you'll ever make. Homeowners insurance helps protect that investment so you're better prepared when the unexpected happens.

Home values and housing markets change over time, and so does what it takes to repair or rebuild one after a covered loss. Building materials, local construction costs, and home updates can impact the cost of repairs or rebuilding. Those are factors to consider when selecting a coverage amount that reflects your home’s estimated replacement cost as it exists today, not just when your policy was first written.

Understanding available coverage options and costs will help as you decide on the right coverage. Make sure your coverage still matches your home, your needs, and the life you've built inside it.
 

Why Coverage Can Change Over Time

Q: What should I do if I’ve remodeled my kitchen, replaced my roof or made other upgrades? 
A: Home improvements can affect what it may cost to rebuild, so it’s a good idea to let your State Farm agent know. They can help you review your coverage and see whether it still aligns with your estimated replacement cost. 

Q: Isn’t my home’s market value the same as what it would cost to rebuild? 
A: Not necessarily. Your home's market value and its estimated rebuilding cost aren't the same thing. The cost to rebuild can depend on things like labor, building materials, local building requirements, and the unique features of your home. Your agent can help you understand how those factors relate to your coverage. 

Q: What if I haven’t made any major changes to my home – but I haven’t reviewed my coverage in years? 
A: It’s still a good idea to check in. Labor and material costs can change over time, even when your home hasn't. It's common to set up coverage when you buy your home and not think about it again for a while. A coverage review with your agent can help you determine whether anything needs to change.
 

It’s a Great Time for a Coverage Check

Accurate, up-to-date information can help you have a more informed conversation with your agent about your coverage needs, including potential endorsements and available discounts.

Home improvement and seasonal maintenance projects provide natural opportunities to take stock of what you've invested in your home and make sure your coverage reflects it.
 

Two simple steps can make a meaningful difference:
 

1. Review Your Home's Coverage

   Connect with your State Farm agent to discuss your dwelling coverage and current rebuilding assumptions. You may want to ask:

   • What information should I consider when deciding how much coverage I need?
   • Would an updated estimated replacement cost review be helpful?
   • Are there discounts available for improvements made?
     
      

2. Take Inventory of What Matters Most

   The structure is only part of the story. Your belongings matter, too. Creating or updating a home inventory can help if you ever experience a loss. Consider documenting:

   • Electronics and appliances
   • Furniture and home décor
   • Clothing and seasonal items
   • Tools, sporting equipment, and outdoor gear
   • Jewelry, artwork, and other valuables
      

   Once you've completed your inventory, review your personal property coverage with your agent to make sure it aligns with your needs. They can help identify endorsement needs based on your inventory.

   Across the country, State Farm agents live and work in the communities they serve. They understand local conditions, local needs, and the importance of helping neighbors prepare for whatever comes next. Whether you've completed a renovation, purchased valuable items, or simply haven't reviewed your policy in a while, a conversation with your agent can help you select coverage that reflects your needs.

   When homeowners take an active role in protecting what matters most—and work with a local agent they trust—they help build stronger, more resilient communities one home at a time.