Rebuilding costs

Norfolk_Jim

I've tried the search engine here but didnt get meaningful results

How do I work out the rebuilding cost for my house so that I insure for the right sum?

I found this web site http://calculator.bcis.co.uk/home.aspx which gives me a figure of between 115,000 and a recommended figure of 155,000

Thats widely different than my surveyors report when I bought my house in June 2010, his figure for rebuilding was 105,000

I did not increase this figure this year as with the financial state of the nation I thought there would be no change in costs for rebuilding and the valuie of my house also reduced - but now I'm thinking, could I be underinsured?

dacouch

http://www.bcis.co.uk/site/scripts/documents_info.aspx?categoryID=1&documentID=26

mikey72

I just insured with legal and general.
Their quote told me the re-building costs.
Try it and see what they suggest for yours.

magpiecottage

Norfolk_Jim wrote: »

How do I work out the rebuilding cost for my house so that I insure for the right sum?

I found this web site http://calculator.bcis.co.uk/home.aspx which gives me a figure of between 115,000 and a recommended figure of 155,000

Thats widely different than my surveyors report when I bought my house in June 2010, his figure for rebuilding was 105,000

If you put in the correct figure and date then this will be a reasonable estimate

I did not increase this figure this year as with the financial state of the nation I thought there would be no change in costs for rebuilding and the valuie of my house also reduced - but now I'm thinking, could I be underinsured?

You will be. You might not sell your house for as much but if it burns to the ground the cost of clearing the debris and rebuilding it will have increased.

You currently have two problems:

1. Any claim, say a winter storm, will be paid pro rata. Thus, if your if you sustained £11,500 of damage, your insurer would only pay out £10,500 - ignoring any excess which would still need to be paid in full.
2. You will be in breach of your mortgage conditions.

I recommend you fax Legal & General, inform them of the error and ask them to increase the cover immediately.


The reason I recommend a fax is that if something happens between now and Wednesday, when they will next be open, you have a chance of persuading them that they would have accepted the risk anyway.