Homeowners InsuranceTypes of Homeowners Insurance policies and All Risk Policy Vs Dwelling Fire, HO-3, HO-5, and the Middle Market Below are a few items that make High Net Worth Homeowners policies so comprehensive• Extended/Guaranteed Replacement – No limit during rebuild regardless of insured amount • Cash Out Option – Policy Face Value available for Cash Out in event of Total Loss • Rebuild To Code – No Sublimit • Additional Living Expense – No Sublimit • Backup of Sewer and Drain – No Sublimit • Replacement Value on Contents - Included Replacement Cost Vs Market ValueYour dwelling value will ultimately be set by an insurance company appraiser after policy issuance. In some cases a pre-inspection can be accommodated. Your Brown Thayer Shedd Advisor will estimate this value to what is a realistic replacement value that a company inspector should determine.Dwelling replacement appraisals are just that…per a specific geographic region, what would it cost to rebuild a structure “exactly” how it exists in current dollars excluding the cost of land and “market value”. Real Estate market values can fluctuate from year to year, while construction costs maintain a steady cost structure. A particular coastal home could be worth $5M today and $8M next year given a strong real estate market, yet the dwelling replacement value would remain static regardless of this quick market fluctuation. Same physical structure, same cost to rebuild. Fire Protection CreditsCloser proximity to a fire hydrant and a full-time fire department results in better fire protection. Many rural areas are installing “dry-hydrants” which draft water year round from a local water source.