Dave amata and his family purchased a new home that has an estimated replacement value of $275,000. they want to insure their home for 85% of its replacement value. what is the amount of the coverage on their home to the nearest dollar?

Replacement value of the home = $275000

Percentage of Insurance required = 85%

The amount of coverage is 85% of the replacement value of the home. Therefore, the coverage amount would be:

Coverage amount = $275,000 x 85%

= $275,000 x 0.85

= $$233,750

Therefore, they need to have an insurance cover of $233,750 to cover the 85 percent replacement value of the current home.

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- love what you do.

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answer; (inseparability);