Home renovations can seem like a great way to make an old Sandy, UT home brand new again, which can mean big changes to the risk factors of a home as well. Depending on the renovation that is performed, it can mean no impact at all or a significant change to a home coverage policy. Here are some of the big changes that have related big impacts to a policy cost:
- Replacing the roof – Roofs on a home generally last about 20 years before needing repair, and some are less. Ideally a homeowner shouldn’t wait until a leak develops. A full replacement can seem like a big hit, but to a home policy it can also mean a big cost reduction of 10 to 20 percent of the annual cost, savings that come back over time.
- Be careful with pools – While they may seem like the ultimate personal luxury items, pools significantly increase risk for a home. Everybody who knows the homeowner wants to visit and jump in the pool, and that means a higher chance of an injury. It also means a far greater insurance cost for the home with the pool.
- Start a home business, expect expenses – Many home businesses involve a good amount of computer equipment and peripherals. Covering all of that business-related material may not receive full reimbursement if not identified properly in a policy. So if you modify a home for an office, make sure to get a rider or new clause in an existing policy.
- Adding an extension – Mathematically, more square footage and structural materials means more costs for repair and reconstruction when damage occurs. So obviously an expansion triggers a higher policy cost as well.
To find out how a Sandy, UT home renovation translates to a policy, talk to Smart Way Insurance Agency. He or she can help estimate your accurate impact or savings.