How Remodeling Can Impact Your Home Insurance



While renovations can increase your property’s value and improve your quality of life, they can also impact your home insurance. Understanding how these changes affect your coverage is essential to protecting your investment. A home remodeler discusses what you need to know about the connection between remodeling and home insurance.

Increased Home Value

When you remodel your home, especially with major projects like a kitchen overhaul or room additions, your property’s value may increase. Since your insurance policy is based on the cost to rebuild your home, you may need to adjust your coverage limits. If your home value rises significantly but your insurance policy remains unchanged, you could be underinsured in the event of damage or loss.

Upgrading Safety Features Can Lower Premiums

Certain interior remodeling solutions, such as upgrading electrical wiring or adding fire-resistant materials, can make your home safer. Insurance companies often reward these improvements with lower premiums. For example, a modern roof can better withstand weather damage, while new electrical systems can reduce the risk of fires. Be sure to inform your insurance company about these upgrades to see if you qualify for discounts.

Liability Coverage Adjustments

If your remodeling project includes features like a new pool or deck, you may need to increase your liability coverage. These additions, while enhancing your home’s value, also increase the risk of accidents or injuries. A higher liability limit can protect you in case someone is injured on your property.

Temporary Risks During Construction

During renovations, your home may be exposed to additional risks, such as theft or damage from construction. Some insurance policies provide special coverage for construction projects, but it’s a good idea to check with your provider to see if you need a policy upgrade during the remodeling period.

Let’s Start a Conversation!

If you’re looking for a “contractor near me“, contact DreamMaker Bath & Kitchen of Elizabethtown at (717) 452-4942 or fill out our online form to schedule an appointment. We serve homeowners in and around Hershey, Mount Joy, Lancaster, and Harrisburg.

Recent Posts
How to Design a Home Around Slow Living

In a world where the pace of life often feels frenetic, the concept of slow living is gaining momentum, and with it, the way we think about our homes is transforming. DreamMaker Bath & Kitchen of Elizabethtown understands the profound impact a thoughtfully designed space can have on our well-being.[...]

Read More

Forget Perfection: X Tips for a Wabi-Sabi Kitchen

In our endless pursuit of creating the ideal home environment, the concept of Wabi-Sabi provides a refreshing perspective that celebrates the beauty of imperfection, aging, and the inherent simplicity of nature. This Japanese philosophy offers a serene reprieve from the constant quest for perfection, especially in the heart of the[...]

Read More

Design Your Space With the Help of Our Experts.

"*" indicates required fields

Services
This field is for validation purposes and should be left unchanged.