Kelly is in the process of purchasing a home that currently has a replacement cost of $300,000. She consults her CFP professional, Amy, to help her determine how much coverage she will need to protect her new home in the event of a partial loss. What is the minimum amount of home- owners insurance coverage that Kelly needs to purchase to protect her home in the event of a partial loss (Hint: 80 percent rule)

1. $240,000
2. $280,000
3. $300,000
4. $350,000