As a Adelaide strata building insurance valuations owner, it’s important to understand how your insurance company calculates the Adelaide strata building insurance valuations. This will help you make sure you have adequate coverage in the event of a loss.
There are a few different methods that insurance companies use to Adelaide strata building insurance valuations properties. The most common is the replacement cost method. This is where the insurance company estimates the cost to rebuild your property from scratch.
The second method is the actual cash value method. This is where the insurance company takes into account the depreciation of your property.
So, if your property is 10 years old, the insurance company will only pay out 90% of the replacement cost. The third method is the market value method.
This is where the insurance company looks at the current market value of your property and insures it for that amount.
It’s important to understand which method your Adelaide strata building insurance valuations company uses to value your property. This will help you make sure you have adequate coverage in the event of a loss.