The recent devastation caused by spring tornadoes is a sobering reminder that catastrophes can strike at any time. When a total loss occurs, California Home Insurance is designed to reconstruct a home under normal conditions. But following a catastrophe, increased demand for building materials and labor can cause these costs to rise significantly, potentially leaving policy limits inadequate.

Fortunately, many policies offers extended dwelling coverage to help prevent such shortfalls. Ensure you have maximum protection by asking for this valuable optional coverage every time.

How it works:

    • Different coverage levels give customers options: Extended dwelling coverage is available on California Home Insurance at different levels for different carriers for additional Coverage A amounts, allowing customers to choose the level that fits their needs.
    • For example: A home is insured for a Coverage A of $100,000. Following a total loss, reconstruction costs amount to $120,000. Without extended dwelling coverage, the policyholder could incur significant out-of pocket expenses ($20,000) or be forced to make difficult rebuilding choices to reduce the cost. With 25% or 50% in extended dwelling coverage, the homeowner would have those extra costs covered.
        25% - Coverage A is increased to $125,000
        50% - Coverage A is increased to $150,000

Note: All coverage is subject to provisions, exclusions, conditions and limitations of the applicable insurance policy.