Farm Bureau homeowners insurance covers actual cash value, replacement costs, or guaranteed replacement costs for homes and their contents, depending on which policies homeowners purchase, according to Farm Bureau. Available insurance riders include special personal property coverage for items such as jewelry and electronics and umbrella liability coverage, which provides blanket protection beyond homeowners and motor vehicle policies. Homeowners can choose coverage for residential equipment breakdown and for structures not attached to the home, including storage sheds and garages.
Policyholders with actual cash value coverage receive payment for covered losses up to the home's current value adjusted for the worth, age and condition of the property, explains Farm Bureau. Policyholders with replacement cost coverage receive the cost to repair damage or to replace affected parts of the home, regardless of depreciation. Guaranteed replacement cost coverage means homeowners receive repair and replacement costs for the home up to 125 percent of its insured value. For example, if significant damage occurs due to a storm, the coverage compensates homeowners for increased costs of materials and labor. Residential equipment breakdown coverage protects homeowners when their heating, air conditioning, water or home electronics systems need replacing.
Homeowners policies are available for a variety of dwellings in addition to single-family homes and townhomes, notes Farm Bureau. The insurance company covers duplexes, four-plexes, condominiums and mobile homes and also offers renters insurance.