Why should I report home renovations to my independent insurance agent?

It is essential that homeowners contact their insurance agent when there are plans to start a home renovation project. Whether the project is complex and involves adding extra square footage to a home or it is a simple room makeover, the insurance company needs to be informed.

The insurance company that is the provider of an individual’s homeowners insurance policy must be informed in order to adjust the policy. Adjustments need to be made when square footage is added, appliance/fixture upgrades occur, or a room undergoes considerable changes. Reporting these adjustments or changes to an insurance company may increase a current insurance premium, but the alternative is much worse – not having proper coverage.

After a home renovation project, if the homeowner has not made the proper adjustments to an existing homeowners insurance policy, the new upgrades and/or changes to the home or a specific room might not be covered. This means homeowners may not receive financial compensation or coverage if property in that area is damaged or requires a repair.

In some cases, if adjustments have not been made to the homeowners insurance policy, the room/space may still be covered. Unfortunately, the coverage that is provided will be based on what the insurance company has on file and may not adequately cover the cost of repairs.

Another reason homeowners should contact their insurance agent regarding home renovations is to make sure they are properly protected against any accidents or injuries that may happen during a project. Most contractors have general liability insurance policies, but those do not always provide the protection a homeowner wants/needs. Purchasing an additional general liability insurance policy can provide homeowners with protection against lawsuits that may arise if a contractor is injured while working on a project.

Don’t find yourself in a situation where you do not have adequate insurance coverage during and after a home renovation project. Work with an independent agency to find and compare insurance quotes online. It will help ensure that your home has the proper coverage for both during and after any home renovation project.

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