MSB High Value ToolCreating an Evaluation

August 7, 2006

High Value Home Replacement Cost Tool

• How to Access Replacement Cost Tool

• General Information• Building Information• Wing Entry• Foundation/Basement• Superstructure/Framing• Using Help Definitions• Exterior Walls• Roof

• Kitchen Packages• Kitchen/Appliance

Build-up• Heating & Cooling• Garage & Carport• Attached Structures• Material Summary• Custom Items• Calculation Page• Questions & Answers

Current Coverage A* is $750,000 or more

*If current coverage A is not available use below Total Living area as a guide

Yr built Total Living Area

<=1940 3500

>1940 4000

When to Use the High Value Tool

• Tool will be used by Agents, Business Center’s and Inspection Vendors• Implementation date – August 20th all users• The High Value Tool should be used if the home meets the following

criteria:

• Log onto Agent HQ• Click on the Tools & Systems tab• Scroll down and click on MSB – Home Replacement Cost Estimator

How to Access the Replacement Cost Tool

Starting a High Value Estimate

• Click on the Valuation Typedrop down and select the High Value Home –Standard Entry Method

• Then click on the Create New Valuationbutton to begin the estimate

General Information

Items with an asterisk must be filled in

• These items are the same as the regular value (Main Street) tool

Building Information Required Items:• Year Built• Construction Type• Number of Stories• Total Living Area• Perimeter and • Floor-To-Floor Height

*Floor-To-Floor height will default to standard 100%, eight (8) feet

Clicking on any item will open up the definition box for that item

Wings are meant for additions completed after the original

construction of the main dwelling

Building Information

Year Built & Construction Type

If the year built is Pre-1930 then the default construction type will be vintage (versus standard). This will affect the replacement cost as well as the defaults on later screens

Wing Entry

• Construction type and number of stories are the same as they are on the building information screen

• Verify for accuracy as these items will factor into the replacement cost of the wing

• Year built information will not pre-fill from the building information screen however it will factor into the replacement cost of the wing

For evaluation purposes, a “wing” is a part of the home that was built after the initial construction of the home

Foundation/Basement

There are two options for completing a calculation:• Allow the system to default additional information based on Year Built and Zip Code

OR• Go through every screen and input each item based on insured’s information

Superstructure/Framing

The pre-filled information should not be overwritten unless you have accurate

data to support the change.

Using Help Definitions

Clicking on any item will open up its definition box.

Use this to verify that you are entering information in the appropriate category.

Exterior Walls

• Framing will pre-fill• Exterior Frame Walls will pre-fill but should be verified

for accuracy

Roof – Part 1 Select and review Roof Style and Shape. Both

play critical roles in establishing the cost of

roof replacement

Roof – Part 2

Verify Roof Type

Roofing Specialty Items –Select if applicable

Kitchen Packages

• Select the most accurate kitchen package by clicking on the title(this will provide the user with a description of the package make-up)

• The packages include: appliances, cabinet type and material, countertop type and material, and lighting features. It also includes the number of each of the items present in the package

Kitchen/Appliance Build-Up

. Use these options to specifically build a kitchen. Do not combine with a kitchen package unless there is more

than one appliance/item that needs to be considered in the build-up

Example: If you selected the custom kitchen package, it does not include a wet bar. Selecting Wet Bar will add the cost into the calculation.

Heating and Cooling

AC and Heating will pre-fill – verify for accuracy

Garages & Carports

This screen will not pre-fill.However, it is an important

feature for an accuratereplacement cost.

Attached Structures

This screen also will not pre-fill. However it too is an important feature for an accurate replacement cost

• Use for decks, porches, sunrooms

Material Summary

Review informationfor accuracy

Custom Items• Custom items can be added by clicking on the Custom Items icon at

any time.• A new window will open – click on Add Custom Item.• Fill in all information that has an * next to it, then click OK.

Custom Items• Type the Description, Quantity and the Unit Costs (for

example: Description – Custom Chandelier, Quantity – 1, Cost - $4,000)

• Unit of Measure determines how custom items will be counted

• Report Location shows the nature of the custom item and where it is located in the house (for example: Ceiling Finish)

Calculation Page

Remember to print or save a copy for your records!

The same reports are available for the High Value tool as the Regular Value• Standard Report• Detailed Report• Data Entry Report

Questions and Answers• What if I enter data into the Regular Value home and

realize that I needed to do a High Value estimate?– You will need to re-enter all information. The Regular and HV tools

are separate rating engines and the data is not shared between the two

• There was an inspection done on the home and the value is different than what the agent calculated?– There can be several reasons for this:

• The inspection vendor may have had different details than the agent

• The agent may be using a different tool for calculating the Coverage A

– Verify the estimate the agent is using is the Travelers MSB tool– Verify the Cost Data are the same. This can be found on the

Report/Calculate screen

Questions and Answers• What should be included in Total Living Area?

– Total Living Area should include all finished living areas. In multiple story homes all living areas should be included, not just ground level. MSB’s system takes into account the style of the home when calculating the TLA (total living area). Exceptions include:

• Built In Garages – this should be included in the square footage (the MSB tool will adjust behind the scenes). You will also need to enter the Built In Garage on the Garages & Carport screen

• Garages & Carports – should not be included in the square footage as this is not living area (with the exception of Built in Garage). Square footage for garages and carports are captured separately on the Garages & Carport screen

– Unfinished basements and unfinished attics are not counted in this space. • Finished Basement and Attached Structures (i.e. porches,

decks, etc) should not be included as these items are captured in other areas

Questions & Answers• There are many options for Kitchen’s and Bath’s. How do

I know which one to use?– Descriptions for each item can be found by clicking on the option– You should not use the Basic option

• The Coverage A amount shown on the Standard Reportis different than the Detail Report– The Standard Report includes Mark-ups and Adjustments– The Detail Report shows only the totals

• How do I enter crown molding in the High Value tool? – There are two options to enter this detail:

• On the Partition Walls screen there is an option called “Mill Work” (the tool will ask for a percentage)

• On the Ceiling Finish screen there are options for entering “Linear Feet” if you have this level of detail