If you apply for buildings insurance, although not in all cases, you may be asked to enter a rebuild cost of your property. This is the cost you would have to pay to completely rebuild your home from the ground up.
It’s important to remember, the price you pay for your home and its rebuild value are different. When you purchase a home, the main value of the home is in the land, which is not part of a rebuild cost. The rebuild cost focuses on the raw materials and labour required to build a house.
To help you get a free accurate estimate of your rebuild cost, you can use the calculator available on (link: Buildings Cost Information Service's) (BICS).
Similar to buildings insurance, you may also be asked for an estimated ‘sum insured’ value of how much it would be to replace all your belongings.