Chanler Agency, Inc - Geneseo & Livonia New York

Header Logo

Homeowner FAQs

My home insurance policy shows I am insured for $225,000 but my tax assessment is only $150,000. Why are the amounts so different?

Most often homeowner policies are written on a replacement cost basis. This provision is applied so that you can replace or repair your home after a covered loss. Tax assessments do not account for labor and material costs to reproduce your home.
The opposite can also be true. For example a home with lake frontage has more value. Therefore a property may be assessed for $300,000 but the dwelling may be rebuilt for $150,000.

I bought my home for $150,000 but the insurance company said I have to insure it for $200,000. Why is the insurance value different from the real estate price?

Real estate market prices do not consider replacing your home after a loss.

*** For both of the above questions, please note replacement cost values are determined by using a standard square footage calculation. This will determine a re-build or replacement cost amount.

I built my home last year and it cost me $325,000. The insurance company immediately told me at my renewal it was worth $340,000. How could it appreciate that much?

New home building is more cost efficient than re-building. The increase of coverage is applied to account for inflationary increases as well as costs for debris removal and temporary structural work to prevent further damage after a loss.

Click the links below for the FAQs
A New Window will open.

General Insuance Topics: Commercial Insurance: Commercial Property: Commercial Automobile: Commercial Speciality: Personal Auto: Special Personal Property: Umbrella Insurance: Homeowners Insurance: Flood Insurance:


128 Main Street, Geneseo, NY 14454
35 Main Street, Livonia, NY 14487
Our offices are open Monday - Friday during normal business hours.

Disclaimer: The Chanler Agency, Inc. is using this website,, for the purpose of soliciting insurance in the state of New York.