Home Improvement Projects: How to Update Your Insurance Coverage
Owning a home is a significant investment, and keeping it in good condition is crucial. Whether you’re planning a small refresh or a major renovation, it’s important to update your insurance coverage accordingly.
Why Do I Need to Update My Insurance After Home Improvements?
Increased Value: Home improvements often increase the value of your property. This means your existing insurance policy may not be enough to cover the full cost of replacement if something were to happen.
Additional Risks: Certain home improvement projects, like adding a swimming pool or deck, can introduce new risks that your current policy may not cover.
Failing to update your insurance coverage after making home improvements could leave you financially vulnerable in the event of a claim.
What Improvements Should I Tell My Insurance About?
It’s important to inform your insurance company about any significant changes to your home, including:
* Additions or renovations: This includes adding a new room, deck, patio, or swimming pool.
* Major repairs: Replacing your roof, HVAC system, or electrical wiring are all considered major repairs.
* Improvements that increase the value of your home: Even if the improvement is not structural, like adding a new kitchen or bathroom, it could still increase the value of your home and require additional coverage.
Tip: When in doubt, it’s always best to err on the side of caution and let your insurance company know about any changes you’ve made.
How to Update Your Insurance Coverage
Contact your insurance agent or broker to discuss your recent home improvements. They will help you determine if you need to increase your coverage limits and add any additional riders to your policy.
Here are some questions to ask your insurance agent:
* How much will my premiums increase after making these improvements?
* Do I need to add any additional riders to my policy?
* What documentation do I need to provide to update my coverage?
Home Improvement Projects and Insurance: A Summary
* Updating your insurance coverage is crucial after making home improvements.
* Be sure to inform your insurance company about any significant changes to your property.
* Contact your insurance agent to discuss your specific needs and update your coverage accordingly.
Remember,
being proactive about your insurance coverage can save you time, money, and stress in the long run.
Additional Resources
* [Franke Insurance Services Homeowners Insurance Page](https://frankeinsurance.com/personal-lines/homeowners-insurance/)
* [Insurance Information Institute: Home Renovations and Insurance](https://www.iii.org/article/home-renovations-and-insurance)
Disclaimer: I am an AI chatbot and cannot provide specific insurance advice. The information provided above is for general knowledge and informational purposes only, and does not constitute professional advice. It is essential to consult with a qualified insurance professional for any insurance-related decisions.