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High value estimators utilizing E2value are coming back with too high rcg's in my opinion . These guides are not taking into account new pardigms in materials and labor and seem to want to make any good size home some sort of palace. Travelers went out and bumped home from 750 to 950 after major kitchen renovation in 08, and then increased coverage to 975 at next renewal in 09. Moved to another carrier whom sent out Cornerstone whom promptly bumped it another $147,000. These guys could have been part of problem in real estate bust as they seem to support higher and higher prices which are not justified these days and yes I know reconstruction is different from new construction .

This is the reason,
We are seeing more companies and agents move towards ACV instead of RCV. RCV is going to be higher in this market. Its the way it should be. Used cars are worth less than new, and so should homes. It is the sign of a healthy market instead of the way out of wack market we have had the last 10 years.

Market value has nothing to do with insurable value.

If you think the estimates for reconstruction cost are not reasonable, you should check the data that's being input into the estimators.

Run it yourself (<$15), or ask a reputable agent to run it for you - and review the inputs with the agent.

Ask which of these your homeowners carrier uses:
www.e2value.com
www.accucoverage.com (consumer facing version of Marshall & Swift/Boeckh's RCT)
www.360value.com

Other cost estimating programs you'll find on-line may be free, but they're not intended for insurance purposes.

Don't rely on the cost approach section of a real estate appraisal, that's a new construction cost based estimate, not reconstruction.

Don't game the system to get an artificially low number; you'll only set yourself up for a coinsurance penalty or inadequate limits. This is how some agents beat their competitors' prices: they're not working in best interest, they just want to make the sale and collect their commission.