How does remodeling affect home insurance?

Significant home remodeling projects often impact your home insurance needs. Not only do remodeling projects increase the value of your home, but the process of remodeling your home brings additional risks that you should protect yourself against. In fact, your home insurance policy may require that you notify their agent before starting the project, so it is best to play it safe. If you live in or near Austin, TX, consider contacting our Armadillo Insurance Agency team to ensure our home insurance policy fully protects you and your family.

The Impact of Remodeling and Renovating 

Home insurance policies typically protect against accidents during minor projects you perform yourself, like painting or recarpeting, but not against more substantial remodeling projects.

As the homeowner, you incur increased risk during the project due to potential liabilities involving the work crew, tools, and supplies. Remodeling projects also raise the risk of damage to your home. As a result, homeowners should consider modifying their home policy or acquiring an umbrella policy for increased protection.

Besides the coverage needed during the work, most projects enhance the home’s long-term value due to added floor space, updated fixtures, or additional furnishings. Some projects add pools or hot tubs for the homeowner to enjoy, but these additions create new risks the home policy should address.

Some remodeling efforts result in reduced insurance premiums because they include safer electrical or heating systems. So, regardless of your planned changes, talk to your agent in advance to confirm you have protection during and after the remodeling project.

Working with the Armadillo Insurance Agency

 If you live in or near Austin, TX, our Armadillo Insurance Agency team can help you obtain the home insurance protection you need. Please stop in or call us today at 512-249-2300.