Guaranteed Replacement Cost
Insurance Glossary
An option that pays the full cost of rebuilding a home after a covered total loss, even when that cost runs past the dwelling limit shown on the policy. It differs from extended replacement cost, which caps the overage at a stated percentage above the limit. Availability is limited, insurers commonly require the dwelling limit to reflect a current rebuild estimate and the home to meet age and condition standards, and some forms still exclude code upgrade costs unless ordinance or law coverage is added.
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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