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Every renewal brings the same important question for brokers: is the building sum insured still right? For a client with one property, that can be difficult enough to answer at times. For clients with larger or more varied property portfolios, it can quickly become more complicated. Construction costs are likely to have moved, labour pressures change, and standard indexation may not always reflect the true cost of reinstating a specific building. That is why having a clear re

Energy efficiency upgrades are now a familiar part of property ownership. Solar panels, heat pumps, battery storage, better insulation, triple glazing and sustainable materials are increasingly common in UK homes and commercial buildings. But one important insurance question can easily be missed: if a building becomes greener, would the rebuild cost still cover what it would take to put it back as it now stands? At RebuildCostASSESSMENT.com, we have already looked at how ener

The Building Safety Act 2022 has made rebuild cost assessments more complex for some buildings in England. Today, building safety compliance is an important consideration for affected higher-risk buildings and other complex properties where reinstatement would need to meet current building regulations. “The Building Safety Act has changed the way risk, responsibility and building information are managed for affected high-rise residential buildings,” Gautham Rajendar, Technica

Our latest Infographic found that 93% of UK properties are insured for the wrong amount. The regional breakdown behind that figure shows why location still matters when calculating rebuild value. National figures show the scale of the issue. Regional data helps show where inaccurate sums insured are more common. Local differences in labour, logistics, site access and planning rules can all affect rebuild costs, which is why a national average can miss important local detail.

Rebuild cost accuracy isn’t a one-time exercise. In 2026, with construction costs still elevated and subject to change, the question property owners and brokers are asking is: how often should you review your rebuild cost assessment? “Rebuild values are dynamic,” said Sharon Masters, AIIRSM MARLA TechCIOB, Technical Lead and Surveyor at RebuildCostASSESSMENT.com. “They don’t just move with inflation alone. They can also change with regulation, labour trends, and technology.”

In 2026, rebuild cost accuracy is under pressure from five key areas: labour capacity, regulatory standards, material price variation, property complexity and the age of the valuation. It is no longer enough for a sum insured to look plausible. It also needs to be supported by evidence that reflects current reinstatement conditions. “Rebuild cost accuracy is about more than the price of materials,” said Gautham Rajendar, Technical Lead at RebuildCostASSESSMENT.com. “It’s a co

The conversation around rebuild costs often focuses on underinsurance, but overinsurance can also create unnecessary costs. In 2026, FCA fair-value scrutiny remains relevant, so materially inflated sums insured may need to be clearly justified. “Overinsurance is often overlooked because it sounds safer than being underinsured,” said Sharon Masters AIIRSM MARLA TechCIOB, Technical Lead and Surveyor at RebuildCostASSESSMENT.com. “But in practice, it means a client could be payi

When should a property alteration prompt a rebuild cost assessment? Property alterations can improve a building, but they can also change its rebuild cost. Where works materially affect a building’s size, layout, specification or services, the sum insured may need to be reviewed. “It is a common misconception that smaller renovation projects will not affect the rebuild cost of a property,” said Sharon Masters AIIRSM MARLA, Technical Lead and Surveyor at RebuildCostASSESSMENT.

A new regional breakdown of RebuildCostASSESSMENT.com’s latest data has revealed just how unevenly inaccurate building insurance is spread across the UK, with Wales , the North West and Northern Ireland emerging as some of the areas most exposed to underinsurance . Based on the latest RCA analysis, 70% of properties in the UK are underinsured overall , while 23% are overinsured . That leaves only a small minority covered for the right amount, reinforcing the scale of the ch

The UK’s soft insurance market is giving brokers a rare opportunity to address chronic underinsurance, as new industry insight shows the problem is increasingly leading to reduced or declined claims. Research from Aviva’s 2026 Broker Barometer indicates that underinsurance is no longer a hidden issue but one now regularly affecting claims outcomes. Brokers report growing concern that clients are discovering gaps in cover only after a loss, prompting renewed focus on ensuring

Getting the building sum insured right is one of the most important parts of arranging appropriate cover. It is also an area that can easily cause confusion if the basis of the figure has not been clearly explained. At a time when the FCA remains focused on fair value and client outcomes, brokers have an important role to play in helping clients understand what the sum insured is really there for. A building sum insured is not the property’s market value and it is not a fig

Commercial properties across the UK face a growing risk of underinsurance in 2026 as rebuild costs and compliance requirements continue to change. Rising rebuild costs, regulatory change and more complex rebuilding requirements can leave even well-managed portfolios underinsured if sums insured are not kept up to date. “Commercial reinstatement is inherently more complicated than domestic rebuilding,” said Gautham Rajendar, Technical Lead for Commercial Properties at...

Materials inflation has eased. Labour costs remain elevated and that is where reinstatement values can shift most quickly. Recent government data shows materials price growth easing, with the “All Work” materials index rose 3,3% in the year to December 2025. However, construction earnings data and insurer commentary continue to highlight labour shortages and sustained pay growth. Where skilled trades are constrained, repair and reinstatement costs can remain under pressure.

If you’ve ever seen “desktop” and “site” rebuild cost assessments and thought, “Right… but what’s the actual difference — and does it matter?” you’re not alone. It’s one of the questions we’re most often asked by people coming to us for the first time. And the honest answer is: both options can be the right one – it just depends on the building, the level of complexity, and what you need the valuation to stand up to. What do “desktop” and “site” actually mean? A desktop rebu

In high-net-worth (HNW) property insurance, underinsurance has long been a concern. And rightly so – with 70% of UK properties insured for less than they should be. However, overinsurance is increasingly drawing attention. Many premium homes are insured for more than their true rebuild cost . This means HNW property owners are paying more than they need to for their insurance, while brokers face potential challenges in evidencing fair value under the FCA’s Consumer Duty. “A

Many UK property owners assume that higher sums insured lead to better protection. New analysis shows this is not the case. While awareness of underinsurance has grown, insurance accuracy remains low across all major sums insured bands. As sums insured rise, behaviour changes – but accuracy does not. Underinsurance often gives way to overinsurance, while correct cover remains rare. This research builds on our annual property insurance infographic, which found that just 7% of

Construction costs across the UK remain high as we enter winter 2026. While inflation has slowed in the broader economy, rebuild costs continue to rise – driven by elevated labour rates, material inputs, and regulatory pressures. For property owners and insurance professionals, this means one thing: regular, data-driven review of sums insured is more critical than ever. Rebuild costs still rising “While the headline rate might look moderate, the detail tells a different story

The Renters’ Rights Act 2025, which received Royal Assent on 27 October, marks the biggest overhaul of England’s private rental sector in a generation. While much of the attention has centred on tenant protections and the end of “no-fault” evictions, the law could also reshape the financial landscape for landlords and insurers, particularly when it comes to rebuild costs. Higher property standards, higher rebuild values A major shift lies in the extension of the Decent Homes

Inaccurate building insurance continues to pose significant risks across the UK, with the latest property insurance infographic from...

The government has confirmed that a Building Safety Levy will come into effect on 1 October 2026 . It’s part of the ongoing reforms...