Remodeling Your Home
Updated: Feb 21
It all starts with a couple late nights watching Fixer Upper and a timely Home-Depot commercial. All of a sudden your neck deep in a
project. I know I have been there many times myself.
The last thing most people would take into consideration when remodeling is their home insurance. Not only is it important to make sure your home insurance company will cover for the new materials part of your renovation, it is also important to ensure that your workers, contractors, and sub-contractors have commercial insurance policies as well. If you are planning on making a significant change it is always best to discuss them prior with your local Ohio insurance agent.
All homeowners need to be aware that when remolding themselves or with a contractor gaps of coverage will exist on their home insurance policy.
Your Wooster insurance agent may look for changes in the replacement cost estimator if the remodeling costs are significant. It is important to note the level of finishes that you are remodeling with since that plays a big impact in the replacement cost of the home. If you are a do-it-yourselfer it’s important to know that especially for highly skilled or time-consuming work that even if your investment is minimal the impact to the replacement cost can still be significant. The classic example is finishing a basement may just be drywall and 2x4s for material but adds a lot to your dwelling amount.
Home insurance during the renovation and remodeling process should never be overlooked. The biggest of all losses might occur during the renovation process such as damage from fire. Some known risks that you as a homeowner should be aware of include:
Items from home might be stolen.
Mistakes made on behalf of contractors may not be covered by your home insurance.
Suggestion: Make sure your contractor has commercial insurance by asking for proof of insurance or a certificate.
Property may suffer damage due to extra foot traffic
Suggestion: Make sure your contractors are Try to remove valuables away from where the contractor will be working sometimes, they may have very limited amounts of coverage for things in their care custody and control.
Unoccupied homes may be subject to vandalism theft of materials and unauthorized access.
Suggestion: Talk with agent since coverage might be excluded depending on how long the home has been vacant.
A Frozen pipe from a vacant home is generally not covered.
Building a detached structure like a garage.
Suggestion: Add on theft of building materials since this is a common cause of loss and not automatically covered.
Ways to Get Coverage During and After Remodeling
It is important to discuss remodeling and renovations before starting them with your home insurance agent. Once you are confirmed that the existing policy may have gaps in coverage you can work with your agent to fill those gaps by changing the policy and mitigating the likely hood of those risks yourself. Precautionary measures taken by the home owner are some of the best ways to manage risk.
Do not forget to keep track of your new remodeling plan and how it alters your house. Any changes additions and deductions should be discussed to get a well-aligned home insurance policy.
If you are considering remodeling of your house and need assistance on a new home insurance, call your local Wooster, Ohio insurance agency Oyer Insurance Agency. As an independent agent, we have expertise in insurance policy information (Trent Oyer has Certified Insurance Counselors Designation).