Home Renovation and Insurance

What South Shore Homeowners Need to Know

As summer approaches, many homeowners on the Massachusetts South Shore are gearing up for home renovation projects. Whether you’re adding a new room, updating your kitchen, or installing a backyard pool, it’s an exciting time filled with possibilities. However, before you dive into your renovation plans, it’s crucial to understand the insurance implications and ensure your home is adequately protected. At DPS Insurance, we specialize in helping South Shore homeowners navigate the complexities of home renovation insurance. Here’s what you need to know.

Why You Need to Consider Insurance for Home Renovations

Home renovations can significantly increase the value of your property, but they also come with increased risks. From construction accidents to potential damage to your existing structure, various factors can impact your home and finances. Ensuring you have the right insurance coverage is essential for protecting your investment and achieving peace of mind.

Reviewing and Updating Your Homeowners Insurance

One of the first steps to take before starting any renovation is to review your current homeowners insurance policy. Here are some key areas to focus on:

1. Increased Property Value

Renovations often increase the value of your home, which means you may need to adjust your coverage limits. For example, if you’re adding a new room or upgrading your kitchen, the replacement cost of your home will likely rise. Contact DPS Insurance to discuss increasing your dwelling coverage to reflect the new value of your home.

2. Liability Coverage

Renovation projects can increase the risk of accidents and injuries on your property. Whether it’s a contractor slipping or a neighbor getting hurt during construction, enhanced liability coverage is crucial. Ensure your policy includes adequate liability protection to cover potential claims.

3. Personal Property Coverage

If your renovation involves high-value items like new appliances or custom fixtures, you’ll want to ensure they’re covered under your personal property insurance. Make an inventory of new items and discuss with DPS Insurance how to best protect them.

Builder’s Risk Insurance: An Added Layer of Protection

For extensive renovation projects, consider purchasing builder’s risk insurance. This type of policy covers property owners and contractors against damage to the building under construction. Builder’s risk insurance can protect against losses due to fire, theft, vandalism, and weather-related events. It’s a smart investment for larger projects that involve significant structural changes.

Working with Licensed and Insured Contractors

When hiring contractors for your renovation, always verify that they are licensed and insured. This ensures that they have their own liability and workers’ compensation insurance, reducing your risk of liability for any accidents or injuries that occur during the project. Request copies of their insurance certificates and confirm their coverage is up to date.

Informing Your Insurance Agent

Communication with your insurance agent is key during the renovation process. At DPS Insurance, we recommend the following steps:

1. Notify Us Before Starting: Inform us about your planned renovations before they begin. This allows us to review your policy and suggest any necessary adjustments.
2. Regular Updates: Keep us updated on the progress of your project. If there are any significant changes, we can adjust your coverage accordingly.
3. Completion Notification: Once the renovation is complete, notify us so we can update your policy to reflect the new value and features of your home.

Post-Renovation: Reassessing Your Coverage

After your renovation is complete, it’s essential to reassess your insurance needs. Here are some steps to take:

• Conduct a Home Appraisal: Consider getting a professional appraisal to determine the new value of your home. This ensures your coverage limits are accurate.
• Update Your Inventory: Add any new items or upgrades to your home inventory and review your personal property coverage.
• Review Your Policy Annually: Regularly review your homeowners insurance policy with DPS Insurance to ensure it continues to meet your needs.

Home renovations can transform your South Shore property and enhance your living experience. However, they also come with increased risks that require careful consideration and planning. By understanding the insurance implications and working with a trusted provider like DPS Insurance, you can protect your investment and enjoy your newly renovated home with confidence.

If you’re planning a renovation or have questions about your homeowners insurance, contact DPS Insurance today. We’re here to help you navigate the process and ensure your home is fully protected.