After careful planning and budgeting, you have finally decided to complete that home renovation you have been looking forward to. Before you begin knocking down walls and drilling holes, you must inform your home insurance company of the upcoming renovations. Because there are risks involved whenever a construction project is being completed, you want to ensure that you are covered if someone were to get injured or property damage were to occur to your own home or nearby neighbors. Furthermore, protect yourself from any liability by checking whether any workers who are performing a rennovation on your home have insurance coverage. Let’s look at three main components to consider when you are insuring your home during remodeling.
Notify your Insurance company about your renovation intentions
Prior to any construction work, contact your home insurance agent to increase your coverage. If any changes are made during the renovation, make sure to keep your insurance provider informed. Generally, homeowners policies are comprehensive and will cover most modifications to a home, but sometimes you will be faced with an increase in your policy to accommodate for a higher coverage.
Will your policy cover your renovation?
There are a few factors that go into this. Not only do you want to ensure that the new room or structure is covered, but you want to protect building supplies that are being used to complete the job as well. Otherwise, if they are damaged, insurance may not cover your loss. Luckily, if you are completing a renovation that involves a new roof or stormproof windows, they usually do not need to be specifically named in your policy.
Analyze Coverage for Family or Friends Who Help
Often, home renovations are done without the use of contractors or hired workers. If your family or friends are helping you build that brand new kitchen or addition, you still need to ensure that they are protected in the event of an injury. While liability coverage tends to pay medical bills, sometimes the guest’s health insurance will also pick up medical costs before the homeowners insurance kicks in.
Home renovations can be an exciting endeavor, but make sure you are properly prepared. The last thing you want to do is have a home inspector come through to analyze whether the additions or renovations meet your local ordinance code. If it is not up to code, any loss may not be covered by your insurance company.
Ideas on Renovations
Have you discussed your project with your insurance company? Here are some ideas on how to get started:
- Bathroom Renovations on a budget
- Kitchen Renovation on a Budget
- Creating a Home Office
- Guest Room Ideas
- Media Room Ideas
If you have any questions about your coverage, you can contact Zversenuke & Associates