Which type of policy would provide replacement cost coverage for personal property?

Replacement cost coverage for personal property means that in the event of a loss, the insurance will pay for the cost to replace the damaged or lost items without deducting for depreciation. An HO-5 policy, also known as a Comprehensive Homeowners Policy, provides broader coverage not only for the dwelling but also for personal property on a replacement cost basis. This is a key feature of the HO-5, as it ensures that policyholders are compensated fully for the value of their belongings without the reduction for age or wear.

In contrast, the HO-2 (Broad Form) and HO-4 (Tenants Form) primarily cover personal property on an actual cash value basis, which takes depreciation into account. The HO-6 (Condo Form) also has similar limitations regarding personal property coverage. Therefore, the most advantageous option for someone looking for replacement cost coverage for their personal property would indeed be the HO-5 policy.