Coverage for Heroes: Guaranteed Replacement and Blanketing - Compass Insurance Partners Skip to main content

Coverage for Heroes: Guaranteed Replacement and Blanketing

Firefighters save homes and buildings all the time. Yet, often when an accident leads to a property loss such as the fire station building or their specialized tools, their coverage is often insufficient. That’s why we offer comprehensive coverage for Fire Departments, big and small. 

After all, even heroes need a little help sometimes.


One of the biggest gaps we see in the policies we review is the lack of Guaranteed Replacement Cost coverage on the fire station building, its contents, and portable tools and equipment.

This is problematic because the cost of buildings and the specialized equipment necessary for firefighters to do their jobs is constantly increasing. Imagine that a station purchased a collection of infrastructure to support inspections, including a computer and various gadgets in 2010 and then falling tree limbs destroy the vehicle they are in, damaging all the equipment on a call. Replacement Cost coverage with a limit of $2,000 may seem reasonable, given the cost to originally purchase it, but if the cost to ACTUALLY REPLACE it exceeds $4,000, that is a big problem. The coverage that was sufficient seven years ago would no longer meet the need because the equipment cost increased. Look for a Guaranteed Replacement Cost endorsement to make sure that no matter how the value of the station’s property changes, the policy covers it. Of course, while this the gold standard of coverage on department buildings, their contents, and portable tools, Agreed Value is a better option on apparatus. See our blog on Agreed Value.

Guaranteed Replacement Cost also extends to personal property that may be damaged or stolen from covered locations. This offers peace of mind to firefighters that necessarily store personal items in the fire station in the course of doing their job.


Not only is it critical to have a policy that covers the actual cost of replacement, but it is most effective when the limits are blanketed. A blanket policy covers multiple pieces of property with a ​combined limit, grouping a collection of properties under the same “blanket,” with a much higher limit. This is important especially when multiple tools or equipment are a loss.

For example, if a claim includes an ATV, power cot, and advanced monitors under a combined blanket, there would be one limit that could be reached in any way needed, as opposed to individual items exceeding individual limits. It simplifies your claim process and puts the coverage where you most need it.

Some policies we offer even feature no dollar limits on buildings / real property and personal effects.

Local Fire Departments serve the community well. But our heroes aren’t immune to disaster. In fact, their job itself often puts them and their property in harm’s way in service to citizens. That’s why we take our job of insuring them so seriously.

At Compass Insurance Partners, we specialize in the unique insurance issues facing these vital emergency service facilities. Contact This email address is being protected from spambots. You need JavaScript enabled to view it. or Greg Steffen in our LeRoy office with questions or to get a quote.