Renovations and Home Insurance: What You Should Know Before Making Changes

When it comes to upgrading your home, it’s important to consider more than just aesthetics. Home renovations can impact your insurance coverage, and being informed is key to avoiding potential pitfalls. Here at Max Insurance LLC, providing homeowners in the greater Des Moines, IA area with home insurance, we want to help you know what to expect.

Assessing the Impact

Before diving into renovations, take a moment to assess how they might affect your insurance. Major changes, like adding an extension or upgrading electrical systems, could increase your home’s value, warranting an adjustment in your coverage. Failing to update your policy could leave you underinsured in case of an accident.

Informing Your Insurer

Transparency is crucial. Notify your insurance company about your renovation plans. They can guide you on coverage adjustments and any necessary endorsements. For instance, if contractors are involved, make sure they carry adequate insurance to avoid potential liability issues that might otherwise fall on you.

Budgeting for Changes

While renovating, keep your budget not only for the project itself but also for potential insurance adjustments. Your premium might change based on factors such as the materials used and the overall value of the upgrades. Planning for these changes can help you avoid financial surprises down the road.

Consult With Us

Renovations can breathe new life into your home, but they can also impact your insurance coverage. Being proactive in understanding the relationship between renovations and home insurance can help you protect your investment and ensure your peace of mind. If you’re looking for a new policy in the greater Des Moines, IA area, or just want to find out how renovations may impact your policy, Max Insurance LLC would love to help. Call us today to learn more.