High value home insurance is also known as luxury home insurance which is designed for people having homes of high worth. The policy offers better protection for assets, and it is categorized for homes whose value is above $750,000, and in some cases, the replacement cost of the house should be $ 1 million or above. 

Replacement cost is the amount that you need to rebuild the home. It's the value you paid for it or its current market value. It includes the whole cost of its rebuilding: roofs, cabinets, floors, exterior building, foundation, and in-built gadgets. Standard home insurance doesn't offer enough Coverage for antique pieces, jewelry, and art; that's why high-value homeowners feel underinsured. 

What do high value homeowners insurance policies cover?

Luxury insurance policy has key differences in comparison to standard insurance policies on the base of coverage range. Here is what high-end homeowners insurance covers.

Broad Coverage than standard home insurance

High-end home insurance offers broader Coverage compared to traditional insurance. On an open perils base, many homeowners policies cover your personal and home property at their rebuilding cost. The insurance company will cover all the losses that are included in their policy agreement. You may get extra money for living costs and more coverage limits on valuable items. 

Policy perks

For their policyholders, some of the luxury homeowners' insurance providers offer special perks. These advantages depend on the insurance company. Some of the perquisites include free consultation to avoid risk at home. 

Devoted customer service

For high-value home insurance, you will get dedicated customer care service. The company will pair the policyholder with a personal representative who will book a new hotel for you in case you want to compensate your coverage limits, find a new contractor, and schedule appraisals. The representative will file a claim on your behalf. 

Additional coverage options 

Unlike standard insurance with limited Coverage, you will get extended Coverage with high-value home insurance for things like: 

• Risk assessment coverage: The insurance will cover all the inspections of your home, where a finance expert will analyze your home to elaborate on which type of insurance is well suited. 
• Loss prevention coverage: Covers the cost of the repairs like security systems or leakage detections that are designed to prevent future loss. 
• Employment practice termination: Covers you against the wrong termination from the employment. 
• Identity fraud coverage: Covers the cost associated with identity stolen or belongings.
• Landscaping coverage: Covers landscaping repair cost. 
• Second home coverage: Covers vacation property or second home as well. 

Cost of high-value homeowners insurance

The cost of high-value home insurance varies vary person to person. It is calculated on the base of various factors like type of policy, claims history, residence state, applied discounts, and amount of Coverage. In determining your premium, your credit history, home age and zip code play a role too. 

 The average annual premium for high-value homeowners' insurance policies is $750,000, which can break down to $313 per month. Comparatively, a standard homeowner's insurance average annual premium is $250,000, which is around $119/month. 

You can consider high-value home insurance if you own a high-value home, a second property, a memorable home with the risk of damage, a home with rare materials or older construction and the chance of loss in rebuilding, a home with Rare materials, art, jewelry, furniture that is hard to find. 

How to buy high-value home insurance?

To buy affordable and comprehensive high-value home insurance, follow these steps: 

• Explore insurance companies: Perform research to find out the top-rated insurance company with a good track record of providing exceptional services to the customers. Find out the coverage options and types that will fit your needs. 
• Choose the amount and type of Coverage: Understand the worth of your house and belongings to know what sort of Coverage you need. You should have an idea about the replacement amount of your home so that you can get enough in case of loss. Consider extra coverage options on the base of your location, like earthquake coverage and flood insurance etc. 
• Compare quotes: The next step is to compare insurance companies, their offerings, terms, and conditions to find the one that meets your needs. The goal should be to get a policy that justifies its actual price and fulfills your needs rather than finding a cheap policy.
• Comprehensive policy review: Care review all the necessary details of the policy understand add-ons, exclusions, deductibles, Coverage limits any special endorsements. 
• Purchase the policy: Now you have an idea of which policy is the best fit per your needs. Now it's time to purchase it. Consider your budget, and make sure it covers all of your valuable possessions within the home. 

How much high-value house insurance policy do I need?

Consider these factors to understand how much high-end house insurance you should have:

Your home's value

Luxury insurance amount you should get depends on the rebuilding cost value of your home. If it costs around $ 1 million to rebuild your home back to its original after a complete loss, you can consider insuring your house for almost $ 1 million.

Worth of Personal Property

You should have Coverage so that you can replace your possessions like art, appliances, clothes, and furniture while getting personal property insurance. Create a home inventory to get a better estimate of your possessions. You don't get a fixed estimate. Most of the high-end insurance companies automatically consider more than 50% of Coverage for personal belongings.

Your liability Coverage

For a traditional home insurance policy, the liability coverage is around $100,000. But for high worth homes, its base limits would be more. You can consider an umbrella policy or upgrade your limit if you have a swing set, trampoline, or pool. 

Your unique lifestyle

Every homeowner has different circumstances, and high-value homeowners insurance is mostly personalized as per the needs of the policyholder. You can get Coverage of the service line, water substitute, and theft identity. It's up to you how you get a policy that fulfills your needs.