How Home Renovations Can Impact your Home Insurance
As a homeowner, having the proper home insurance is an important part of maintaining your home. While there are different types of coverage for different home ownership realties, one aspect of your home insurance policy to give some additional consider, is how home a renovation will impact your coverage.Whether planning to transform your home on a large or smaller scale, there are elements of your current policy that may covers these, and others that may not be covered.When re-evaluating your home insurance, one initial step is to identify the nature of your renovating needs. For example, will this be a minor project or a major one.If you are planning a smaller sized reno, then is it possible that your current coverage may still be suitable. For example, if you are painting or touching up some small features of your home, this may not require any further insurance.However, if you are planning for a major construction job, then re-assessing your coverage is definitely in your best interests.With that being said, if your home or property becomes a ‘construction site’, there are many extenuating circumstances that can occur and this will add some more risk to your role as a homeowner.
Some Additional Factors to Consider
As mentioned, undergoing a major renovation will require additional considerations. First and foremost, your home may turn into a construction zone of sorts, and this might mean there will be building items and equipment left on your property during this time. If this is case, then having extra insurance for instances such as vandalism or theft may be worth an added precaution and in turn, an adjustment to your insurance may be warranted.
Secondly, you may also want to factor in business liability or general liability insurance as this will help to cover professional contractors who are working on your property. In the event, the contractor’s actions lead to damages to your property or the property of others, this specific type of coverage can help you cover these costs.
Another scenario worth considering, is whether you will need to move out of your home during the renovation process. If this is the case, and if you are not residing in the home for more than 30 days, you may also want to look into whether or not you need to obtain extra coverage known as a Vacancy Permit. If necessary, this added insurance peace can help keep your home covered during this timeframe.
Finally, adding onto your home can also increase the value of your home. As a result, it may be necessary to add on more insurance to cover needs such as replacement costs in a variety of situations. Should your home, for example, require repairs due to water and fire damage, to mention a few, you are ensuring your have enough coverage to align with these types of unexpected expenses.
In the end, when you are in the beginning stages of planning to renovate your home, it is best to get in touch with your home insurance agent to find out more about what additional insurance may be required.
To ensure you have right coverage, Leaders Insurance can assist you in identifying your home insurance renovation needs. We look forward to helping you make your home renovations dreams come true.