Insurance on Rentals whose value going up over the years.

[Naga A.]

I have had landlord insurance for all my properties whose insured values are what I paid for to purchase them for years.  However, those properties have their value gone up over the years and the insured value does not cover the actual value of the properties any longer.  I asked for quote for insurance whose insured value matches the actual value of the properties and was shocked by the prices (like a single family home I bought for $50K about 10 years ago whose value is like $250K, the quote is for $1650 with $5000 deductible).  I used to pay about $450 for the purchase price of $50K for the property.

Should I have insurance where insured value matches the actual value of the property and paid significantly high premium or keep the insurance whose insured value is significantly lower than actual value but pay significantly lower premium?