Question about dwelling coverage for home insurance

[beeeph]

I thinking about switching over to Geico for home insurance. My current insurance through StateFarm has a dwelling coverage of $400,000. The Geico rep was trying to selling me on a plan that had a dwelling coverage of $300,000 + 25% "extra if needed", stating that he could save me about $100/year in premiums, and that it was the same as having a flat $400,000 dwelling coverage. He was new, and unable to sufficiently explain the difference, but it seemed like a good way to save a penny. Does anyone understand the difference, and is it worth the cost savings? Thanks!

[ilsy]

Well, you would need to call Geico again, and ask another rep to explain it to you. I have Esurance for my primary residence and my car, and somehow I pay less for my homeowner's compared to my car's insurance, when my house is 10 times more expensive than my car. I have no idea, if my insurance is good or not, I'm not planning on using it (and hasn't so far), so like MMM, I wouldn't have had insurance, if I could. I have maxed my deductibles for my house and my car, and my deductible for my roof is $7.5K. I'm still not sure if it's a good deal, but it gets me a great rate for my home insurance, and since I have more than 50% equity, my bank has no say on the matter. I have replaced 3 roofs on my primary residence and my rentals in the past 3 years (out of pocket), so roofs don't scare me, maybe they should.