Adjust Your Homeowner Insurance Policy For Home Additions

Planning on renovating or adding on to your home? Maybe you’re planning on a Jacuzzi or pool in the backyard, or an office down the hall from the living room, or even a second floor to your home. Whatever home addition you’re planning, no homeowner should make the mistake of not obtaining adequate homeowners insurance coverage. For low-cost home insurance, shop online using our free quote comparison service and compare homeowners insurance quotes.

Adjusting Homeowners Insurance

Don’t wait until your home addition is complete before you adjust your homeowners insurance coverage. Any number of accidents or liability issues can come up during construction, costing you huge sums of money out of pocket. If your new home addition is damaged before you adjust your homeowners insurance, you will have to put up with the repair costs.

1. Contact your home insurance agent. Before you start renovating or construction, talk to your local homeowners insurance representative. Determine how much your homeowners insurance policy needs to be increased. Many renovations or additions increase the value of your home—your homeowners insurance policy should reflect that increased value.
2. Talk to your contractor (and subcontractors). Verify that your contractor has workers compensation. This will compensate any medical expenses or lost income incurred if any builders are harmed while working on your property. Check the effective dates of the contractor’s coverage (make sure it doesn’t expire before your renovation is complete).
3. Don’t forget the part-timers. Also, if any part-time workers are hired for the renovation, they may not be covered under the contractor’s workers compensation coverage. If the contractor does not have proper insurance or if it doesn’t cover part-timers, it’s up to you to purchase this insurance yourself (talk to your homeowners insurance agent about this). You may have to increase your homeowners insurance policy’s liability limits. Their safety is your responsibility.
4. Insure any additional possessions. If you’ve added on an extra room or space, you’ve probably purchased furniture, electronics or other furnishings for it. Along with insuring the new structure, you will also have to insure your new personal belongings in it. Increase your personal possessions coverage on your homeowners insurance policy; include them on your home inventory list/file/video and save receipts if you have them. 
5. Get homeowners insurance quotes. Increasing liability limits and coverage on your homeowners insurance policy will increase your homeowners insurance premium. To find a better value, obtain homeowners insurance quotes (this can be done very easily online, in a matter of minutes). Compare insurance quotes and find the most coverage for the lowest price.

Home Insurance Agents Know Best

Talk to your local home insurance agent as soon as possible if you’re planning on renovating or adding on to your home. Ask your agent what factors regarding renovations affect your homeowners insurance premium and how you can keep costs low. Also, consult your homeowners insurance agent before hiring a contractor and see if they have any contracting companies they recommend. Start comparing quotes now using our free online service.