Inflation Guard
Insurance Glossary
A policy feature that raises the dwelling limit and the coverages tied to it automatically to keep pace with construction costs. It applies a percentage increase at each renewal, or in some forms during the policy term, so a limit set years ago does not quietly fall behind what rebuilding actually costs. The adjustment is an estimate rather than a new appraisal, so a home that has been remodeled or added onto can still end up underinsured.
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.