Purchasing home with squatters--seller financed--what insurance coverage needed?

[Kimberly Balzli]

Hi! Thank you for reading. We are purchasing a manufactured home on a double lot that has squatters. We have legal assistance lined up to start the removal process on closing day. We will be renovating the property, no structural changes though. We need to bind the insurance. What is the best, cash value VS replacement cost, in this situation? Our concern is further damage being done after we take ownership and before the squatters are removed, like something catastrophic is our main concern. Thank you--