My shed was damaged in a storm – do I have to use the insurance money to buy the SAME shed, or can I select a different option?

Free Insurance Quote Comparison

 Secured with SHA-256 Encryption

Jeffrey Johnson is a legal writer with a focus on personal injury. He has worked on personal injury and sovereign immunity litigation in addition to experience in family, estate, and criminal law. He earned a J.D. from the University of Baltimore and has worked in legal offices and non-profits in Maryland, Texas, and North Carolina. He has also earned an MFA in screenwriting from Chapman Univer...

Full Bio →

Written by

UPDATED: Oct 13, 2010

Advertiser Disclosure

It’s all about you. We want to help you make the right legal decisions.

We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes and legal advice should be easy. This doesn’t influence our content. Our opinions are our own.

Editorial Guidelines: We are a free online resource for anyone interested in learning more about legal topics and insurance. Our goal is to be an objective, third-party resource for everything legal and insurance related. We update our site regularly, and all content is reviewed by experts.

Insurance Question from Belle Valley, PA

Asked on 10/13/2010

My shed was damaged in a storm – do I have to use the insurance money to buy the SAME shed, or can I select a different option? What I'd like to do is build a deck with a watertight underside and use a big portion of that as a shed - it will be water-resistant and have walls and such, but will not be the same as the shed that was destroyed. Is this considered insurance fraud? I mean, I'm building a storage area for all of the things I kept in my shed, it's just of a different nature....can anyone provide advice on this BEFORE I make a bad decision?

Answer given on October 14, 2010

You can do whatever you want with the money.  The money was for your loss, not for the cost of an exact replacement.  The money you receive is based on what COULD be an exact replacement, but that doesn’t mean that’s what you have to use it for; that’s up to you.

Had a house in my hometown blow up due to a gas leak.  It was an older historic home.  Now, sitting on the same lot is a brand new house that looks nothing like the one it replaced.

Bottom line, the money you receive for your loss is yours to do with as you wish.  You don’t even have to replace your deck with it.  

IMPORTANT NOTICE: These answers are for general information purposes only and are provided by the person answering and AS IS. It has not necessarily been reviewed by the management staff of nor is it binding any insurance agent, broker, or other insurance professional or any attorney or insurance company. Insurance laws, regulations and practices vary from state to state and insurance policies and practices differ from company to company, by type of policy, by state and locality and by type of insurance. Tiny variations in the facts, policy language or a detail not set forth in a question often can change the outcome or a professional's conclusion. Although has confirmed that the answer(s) was/were provided for the account of an experienced insurance professional, that professional may not be licensed in the state referred to in the question, and may not be experienced or up to date in the subject area. Unlike the answers provided here, upon which you should NOT rely, for personal advice you can rely upon we suggest you consult a licensed insurance professional in your area or retain a licensed attorney listed on to represent you.

Free Insurance Quote Comparison

Enter your ZIP code below to compare cheap insurance rates.

 Secured with SHA-256 Encryption