Hi,
I live in the state of Minnesota and have a question regarding Hazard insurance coverage amount.

My hazard insurace was renewed and the dwelling/replacement cost was raised to 220,000. Current loan amount on the property is 205,000.

Last year when I refinianced, the home was appraised around 225,000 with the land value worth 75,000.

Since my hazard insurance covers only the replacement cost of the dwelling - is it possible to reduce my coverage to 150,000?

Another question - are there any specific regulations regarding hazard insurance coverage I can research?

You help would be appreciated.

This is something you will need to discuss with your lender and insurance company.

For what it's worth we only require insurance for the replacement value of the dwelling and any outlying buildings.

Thanks for the feedback. I checked with the current servicer of the loan and inquired whether or not that have specific guidelines regarding the Hazard Coverage and they stated that they do not.

I will take a look at my policy once again when I get home and contact the insurance company.