The sum insured should be the full replacement cost of rebuilding your home using new materials at today's prices. It's the most that will be paid to settle your claim in the event of a natural hazard (in other types of claims, we may use replacement cover). Your sum insured should include features such as garages, any outbuildings and other features such as pergolas, fences and swimming pools. It should also include demolition costs and GST.
You're responsible for providing us with the sum insured amount when setting up your cover, determining its adequacy and keeping it up to date at each renewal. There are several ways you can calculate your sum insured, including contacting an expert such as a builder, architect or quantity surveyor. Alternatively, you can use the online Cordell Sum Sure Calculator which estimates typical building costs for standard residential houses.
Your home sum insured is noted on your policy schedule. At renewal, your sum insured may include an adjustment for inflation, but it won’t include any adjustments for any changes, additions or omissions to your property. Sum insured does not refer to the market value of your property or how much you paid for your house but to the cost of rebuilding.
You can find more information about sum insured, including things to consider and tools to help calculate your sum insured, here. For full details of what you're covered for, please refer to your policy document.