Five Types of Home Renovations that Will Impact Your Insurance


Home renovations are a great way to enhance the look and value of your property. You may want to renovate your home to create additional space or include other stunning features, such as a swimming pool and patio. However, your choice of upgrades will impact your home insurance in many ways.

Nonetheless, homeowners coverage such as Homeowners Insurance Naples, FL, is a must-have for every homeowner. It shields you against property damage costs and losses. The policy compensates for damage to your valuables, home interiors, and exteriors.

Here are home renovations that will affect your homeowners insurance rates:

1. Adding a Pool to Your Home

Building a swimming pool will raise the value of your property and entice potential buyers. However, a pool will increase your liability risk, thus raising your home owner insurancepremiums. Therefore, visit Del Toro Insurance and discuss how your pool project will affect your insurance costs.

As a pool owner, you may have to opt for higher liability coverage than the standard. Your insurance provider may also require a locking fence in your pool for enhanced safety which increases the cost of building the pool. Also, if your pool has a slide, it is considered a great potential hazard, thus, a higher premium.

2. Installing a Home Office

Nowadays, most people work remotely, and home offices are common. Adding a home office to your property will raise its value and increase your homeowners insurance premiums. You will need your insurer to protect your office or business equipment, and the provider will adjust your rates to cover this.

Therefore, if you plan to use special equipment, get homeowners insurance quotesbeforehand. Your premium should cater to worker injuries or inventory loss in your home office. And this is why you will be expected to pay higher insurance rates or purchase an additional policy depending on the type of business.

3. Roof Replacement

A roof replacement will enhance your home’s safety and aesthetic appeal. It adds extra protection to your property and will raise its value. With a new roof in your home, you will save a lot on your homeowners insurance since you will pay lower premiums. Moreover, some insurance companies will give a discount if your roof features hurricane straps or impact-resistant shingles.

4. Home Expansion

You may want to expand your space to accommodate your growing family. For this reason, you may want to modify your floor plan and add more living space. You may also want new additions to your home and adding more space will mean higher home insurance premiums.

For instance, adding a large deck will raise the value of your property and require assessment by the insurance provider. You may also need other coverages for new structures on your property. These may include a basement or a drywall. The bottom line: while expanding your space, you will need to pay an insurance premium that caters to the additional square footage.

5. Kitchen and Bath Upgrades

Kitchen and bath remodeling are common renovations in most homes. You may need to increase the square footage when making upgrades, such as changing the countertops or building custom cabinets and drawers.

These come with higher premium costs, and you must increase your coverage to cater to the upgrades. Your insurance agent will work with you to determine the changes in your Homeowners Insurance Coverage.

Final Thoughts

You can undertake various home renovations to expand your space or upgrade your home. However, discuss this with your insurer to see how this affects your homeowners insurance premiums. Some upgrades, like pools and kitchen remodels, will raise your insurance cost, while others will lower your insurance premiums.