Ask Our Insurance Consultants about Inflation Guard Coverage

by R&I Consultants

Inflation GuardOvertime, whether you are a commercial property owner or homeowner or both, your property probably has increased in value. Though this is good, you may not have the right amount of insurance coverage now. This is where inflation guard comes into play.

Inflation guard coverage can be easily added to your current commercial or homeowners insurance in Atlanta. It is an endorsement that provides for automatic, periodic increases in the amount of insurance on your property. Furthermore, it bumps up the coverage amount specified in your policy declarations an additional two percent for inflation each quarter of your policy term.

With this coverage, your property will be insured for the cost to rebuild it instead of the price of purchase. For example, consider a total covered loss to your property during the third quarter of your policy term. With inflation guard, your available coverage to rebuild or replace your home would be up to six percent more than the amount specified in the declarations of your policy. So, your replacement cost will be covered at a higher amount if there is an accident or natural disaster.

For instance, this endorsement is necessary because it is not always possible to forecast the construction cost index in a specific community or region. In 2005, Hurricane Katrina, the most destructive hurricane to ever strike the U.S., had an immediate and dramatic effect on the cost of building materials. As a simple result of supply-and-demand, these increased costs could have potentially affected replacements costs for property losses across the entire country.

For more details on obtaining inflation guard coverage, ask our personal and commercial insurance consultants today! Just call 404-459-5975.

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Your exceptional service has allowed us to meet, if not exceed, our customers’ needs and expectations. We have truly found a partner in R&IC. Sherri Holcombe, Risk Administrator, GTO 2000