Renovating Your Home

When you're renovating your home, there's so much to think about. Insurance might not be as exciting as choosing a new kitchen, but it can be really important - especially if things don't go according to plan. Here are a few things to keep in mind...

Materials

Depending on how adventurous and creative your project is, you might be using some unusual construction materials. If this is the case, ask your insurance company for more details, as deviating from 'standard construction' may affect your premiums.

Builders' insurance

Chances are you'll be using professional builders for at least some aspects of the renovation, so make sure they also have adequate insurance. The most basic will be Home Warranty Insurance, but also ask about Builders Risk, Public Liability and Workers' Compensation.

What does your existing policy cover?

Assuming you've already got home insurance of some kind, remind yourself of what it actually covers. For example, are you protected in case of theft or damage during construction? Always take the precaution of notifying your insurer (in writing) of large-scale renovation work. And check that an automatic adjustment is in place to take account of the rising costs of building.

What about other buildings?

Your renovation work could well have an impact on other people and other homes. If so, you're legally obliged to protect your neighbours homes from damage. Your home insurance should include a legal liability component, which is very helpful if you accidentally flood your downstairs neighbour while you're renovating your bathroom.

Re-insure at the end

When you finally come to the end of the renovation, your home, and perhaps even your contents, will probably have become more valuable. And you now have a good idea of how much more it would cost to re-build to the same quality standard if something went wrong. Don't risk all that hard work - let your insurance company know and revise your policy and premium.