Home Renovations: Keeping Your Insurance in the Loop

Planning a home renovation? While exciting, it’s crucial to consider how your project might impact your homeowners insurance. Here’s what you need to know:

1. Building an Addition: Expanding your living space increases your home’s value, potentially requiring a higher coverage amount. Talk to your insurance agent to ensure your dwelling coverage (replacement cost) reflects the updated value.

2. Adding a Pool: Pools increase fun, but also risk. They might require additional liability coverage due to the potential for accidents. Discuss safety features like fencing and alarms with your agent to see if they could influence your premium.

3. Adding a Deck: Decks add charm, but their location matters. High decks might affect your premium, so discuss the specifics with your agent to understand if adjustments are necessary.

4. Renovating the Kitchen: Kitchen upgrades can significantly increase your home’s value, possibly requiring a higher dwelling coverage. Additionally, if the renovation involves plumbing or electrical upgrades, it might qualify for discounts due to reduced risk of water damage or fire. Discuss these details with your agent.

5. Finishing the Basement: Transforming your basement into a living space adds value, but also potential risks. Depending on the extent of the renovation, your agent might recommend additional flood or water damage coverage.

6. Upgrading Your Roof: Replacing an old roof with a more durable material might qualify for discounts due to the reduced risk of damage from weather events. Consult your agent to understand potential benefits and any necessary adjustments to your policy.

Remember: Always communicate with your insurance agent before starting any major renovation. They can guide you on potential adjustments to your coverage and ensure your home remains adequately protected. By being proactive, you can avoid any surprises down the line and ensure a smooth renovation experience.