What is home insurance dwelling coverage?

What is dwelling coverage? 

Dwelling coverage can help pay to repair or rebuild your house if it is damaged by a number of different scenarios or risks. Some examples of the types of risks that may be covered include: 

• House fires
• Severe weather
• Falling objects 
• Vandalism/theft 

Your dwelling coverage limits are based on the estimated cost of rebuilding your home. While the current market value of your home may be lower than you’d like, the cost to rebuild may be higher than you think. Over time, economic changes such as labor or material costs could make rebuilding more expensive than initially anticipated. 

Updates, additions and improvements to your home may increase or change the amount of dwelling coverage you need. Some common reasons to purchase higher coverage limits include installing hardwood floors, updating a kitchen or bath or adding a deck. As a result, it’s important to periodically review your coverage. 

While you can’t predict when a covered loss will occur, there are a couple of steps you can take to help ensure your home is covered up to its replacement cost. 

1. Talk to your agent or Travelers representative about the dwelling coverage on your homeowners insurance policy.
2. Check in on your home’s replacement cost yearly, especially after making improvements to your home. Even small improvements can affect the cost to rebuild your home.