Are you making some updates to your home this year? Perhaps you are expanding or remodeling a few rooms. No matter what your plans are, the goal is to add value, function, or beauty to your home. That’s a good thing. There are some situations, though, that require you to let your home insurance company know about the updates. Doing so can help ensure your home has proper protection from any type of risks that could occur.
Why It Matters – Your Home Insurance Needs to Know
When considering any type of remodel or upgrade to your home, always ask yourself these questions:
Here are a few examples of when you should let your agent know. Remember, all it takes is a quick phone call.
#1: Expansions and Additions
Any time you expand your home, you need to let your home insurance agent know. This includes things like adding a second floor, expanding a room outward, or adding a garage.
This changes the layout of the home, but it also changes the value. You need your policy to reflect your home’s actual value and structure design. Otherwise, errors in your policy could make it hard to file a claim later.
#2: You Are Adding Outdoor High-Risk Features
Things that fall into this area include adding a swimming pool, adding a hot tub, or even a swing set. These add risk to your home and to third parties, like swimmers. They also change the value of the home.
Keep in mind that your home insurance agent will discuss ways to make your home safe with these new risks. That includes fencing in pools and locking away hot tubs. You might also consider adding more liability coverage to your policy if you need it.
#3: Significant Upgrades
Redesigning your kitchen, adding a new bathroom, or even upgrading your home’s roof are all ways you are increasing the value of the space. You may want to let your agent know that you completed the basement, too.
Letting your home insurance agent in on the changes ahead of time can also be beneficial. It lets your agent give you some direction on how to add security or to make the area safe enough to minimize any increase in your home insurance premium. It can also let them know if you need to add extra coverage to your policy.