My question involves insurance law for the state of: michigan
Hi. When i bought my home i had good credit. The carrier i was with valued the replacement at 180000$.
4 years later i am divorces and as a result my credit is in ruins. My carrier went bankrupt and dropped me, so i had to find a new carrier.
Basically all the companies gave about the same quote. 3k a year and a 5 k deductable. Sick.
In addition they are all giving me replacement costs of around 300k. I paid 80k for my home, while i know it would cost more than that to rebuild, i know it wouldnt cost 300k!
The guy across from me purchased land and built a very nice home for far less than that.
I offered the carrier i went with(encompasa) at my expense to have a builder come in and give a replacement estimate, but they refused, stating they only go with what their computer estimates.
I contacted my mortgage company to see if i could cover it for less than what the carrier states is the replacement. They told me i must cover it for whatever the carrier states is the replacement.
This seems bogus to me, that basically means the carrier can claim it costs whatever they want to replace the home, and im forced to pay it.
Im wondering if i could get my parents, a relative, or friend to insure the home to reduce my rate. Ive owned a hone for 7 years and never had a claim.
Also im curious if my home were a total loss and it turns out to only take 200k to repkace it, will the carrier allow me to build a 300k home?