Coinsurance
Insurance Glossary
A property policy condition requiring the building to be insured for at least a stated percentage of its replacement cost, commonly 80 percent, or claim payments are cut proportionally. A home insured well below that threshold can have a partial loss settled for less than the repair cost even when the claim is far below the policy limit. It is one reason insurers periodically recalculate rebuild cost, and the word means something different in health insurance, where it is the share of a bill the patient pays.
This content is for general informational purposes only and is not insurance, legal, or financial advice. Coverage, exclusions, eligibility, and pricing vary by insurer, by policy, and by state, and only the policy documents control what is covered. Always confirm the details of any coverage with a licensed insurance agent or the issuing carrier before you buy.
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