What to Consider Before Renovating Your Home

Home Insurance

As we approach summer, you may be a homeowner contemplating making some renovations to your home. If you are thinking of making some renovations this year, here are some things you should consider before starting any home renovation:

Who is Doing the Renovation?

Some home renovations are simple and can be completed with the help of some friends and/or family. However, most renovations require major work, which is best left to the professionals. As a result, it is important to decide whether the home renovations you want to be completed require help from professionals or can be done without them. If you decide that it is a job for a professional, it is recommended that you get a few quotes from different contractors, and confirm that the contractor has a commercial insurance policy. This policy will protect YOU if a worst-case scenario situation were to happen.

The Length of Time

The time it takes to complete a renovation can vary in length. It all depends on the size of the renovation. It could take only a couple of days to a couple of months to complete. If you are paying a professional contractor to complete the renovations, they will typically give you an estimated completion date. However, sometimes problems and/or challenges can arise, which could prolong the expected completion time. That is why you should leave yourself some extra time just in case the home renovations take longer than expected.

Living Arrangements During the Renovations

If you are getting a professional to complete your home renovations, it may be necessary to vacate your home while the renovations are taking place. This really all depends on the size of the renovation. It would be wise to consult with the contractor beforehand to see if they require you to vacate your home while completing the renovations. If this is the case, it is important to make sure that you have your living arrangements in place before the renovations commence.

Contact Your Insurance Broker Before Renovations Start

It is crucial to contact your insurance broker before the renovations start. If a home is vacated for more than 30 days, the home insurance policy can become void if the insurance company is not notified beforehand. There are a host of new potential hazards & exposures to loss during a renovation process – you must absolutely inform your insurance provider if you’re conducting a renovation. Further, renovations may change the number of property coverages needed. That is why you should notify your insurance broker so they can make sure that your home policy would cover the renovations or update your policy to include the coverages needed.

Add Course of Construction Coverage to Your Home Insurance Policy

Course of Construction Coverage also known as Builder’s Risk Insurance is a temporary coverage that protects your home in the case of damages or loss during construction and/or renovations. This is an important coverage to add to your existing home policy before any construction or renovations start in your home. This coverage is important to have as the homeowner, even if the contractor already has insurance. If the entire project goes up in flames, only a course of construction policy will provide the coverage to rebuild the home and allow you to continue your renovation or rebuild project.

Home renovations are a large undertaking, which is why you should consider these 5 main steps before going ahead and starting any renovation. If you have any questions about your home insurance policy or the course of construction coverage, you can always talk to one of our licensed insurance brokers at 905-886-7277.

By Laura Parkes