Replacement costs can fluctuate for properties you insure when homeowners make improvements and building material prices rise and fall. 360Value® delivers reliable component-based, claims-driven replacement cost estimates to help keep policyholders protected.
As a leader in replacement cost estimation for more than 20 years, fueled by a strong connection to claims-based data, Verisk recommends five strategies to help avoid outdated valuations that could leave insurers and their customers vulnerable in the event of a total loss.
From underwriting to policy renewal, 360Value generates reliable replacement cost estimates for properties you insure. We account for the costs to fully reconstruct a property—down to the screws and nails.
Reconstruction costs can change at different rates across time and location—and can be very localized. Each quarter, Verisk reports reconstruction cost data and trends at the national and state levels.
With 360Value, your replacement cost estimates can accurately reflect real-world prices for labor and materials, based on extensive research, direct data feeds, claims analyses, and communication with 92,000 claims and building contractors.
Discovering property change events helps insurers obtain a clearer view of their portfolio to help focus on profitability, maintain underwriting standards, focus on new business growth, and help homeowners protect their investments with adequate coverage.
Deep data resources on labor and materials costs – integrated into underwriting workflows – are critical when reconstruction calls for high-end materials and specialized skills.
Make, model, age, location, and additional attached or detached structures can quickly complicate the calculation.
Insuring condominium units with only lender requirements or square footage can pose a challenge for replacement cost estimation.
As wildfires grow in frequency and severity, so does the value of data ecosystems to deliver a comprehensive view of property risk, from address-level exposure to granular, up-to-date reconstruction cost estimates.
From device-agnostic quoting to back-end processes in policy management and underwriting systems, 360Value integration options can deliver reconstruction cost estimates tailored to your business and IT needs.
Hail is affecting more properties over a wider area than the traditional “hail alley.” As a roof’s condition declines, replacement is often the next step. The cost can change significantly over time, based on local material and labor costs.
Use a multisource property prefill database that analyzes diverse data sources to identify the most reliable information per characteristic.
Leverage pre-built integrations with multiple policy administration systems. Partnerships and accelerators can help support easy and seamless workflows.
Enhance ITV at bind and renewal with 360Value for Commercial Property, which includes monthly price updates based on localized claims.Read the article
Verisk's 360Value Quarterly Reconstruction Cost Analysis shows materials and labor prices rose 3 percent from July 2021 to July 2022.Read the article
Knowing when a property has been updated is critical, as these changes can add new liability risks and insurance-to-value considerations.Read the article
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