Does the DP policy include automatic increases in insurance coverage?

The DP (Dwelling Property) policy does not include automatic increases in insurance coverage as part of its standard terms. This means that policyholders need to actively manage their coverage to ensure that it reflects any changes in the value of the property or the cost to rebuild in the event of a loss. If someone desires increased coverage, they can opt for an endorsement to add this feature, which would provide the necessary adjustments to the policy limits.

Endorsements can include various types of coverage modifications, such as inflation protection or adjustments based on specific changes in property value, but they require action on the part of the policyholder or their agent. This necessity for proactive management of coverage highlights the importance of regular policy reviews, making sure insurance amounts are adequate for the insured property.