Written by 9:00 am Blog, Finance and Insurance

Is Inflation Affecting Your Insurance?

By Katie Lynn Zurawka, division operations manager

Inflation is currently impacting everyone across the United States. As your professional insurance advisors, it’s our mission to ensure our clients understand how the changing economic climate impacts your coverage and provide you with ways to help you manage your insurance needs efficiently.

Most residential home insurance contracts provide replacement costs to rebuild your home as it stands today in the event of a claim. With the rise in inflation, it’s more important than ever to review your coverage to ensure proper replacement costs. The value is calculated on the square footage and specific features of your home, and the amount will often be higher than the market value. In general, insurance carriers apply inflation to the replacement cost of the home for added protection. Still, it may not be sufficient in today’s market due to rising costs of construction materials, cost of labor, supply chain, and labor shortages. Let’s not forget that Mother Nature has also been wreaking havoc lately with an uptick in weather-related disasters. Homeowners have also made more updates and additions to their homes than in years past, which may not be accounted for within their current coverage. Considering all these factors, it is the perfect time to review your current insurance coverage.

We are happy to provide you with a personalized review, which will give you peace of mind knowing you have the protection you need. Call us today! We truly look forward to speaking with you soon.

Learn more at HowardHanna.com/Insurance or call 412-696-0310.

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Tags: Last modified: March 23, 2023