We all know about the importance of your home insurance. Yet, once you’ve purchased your home insurance policy, you are not done thinking about your home insurance. There are times when it’s important to update your Agent and your home insurance policy. You need to update your insurance when you get pets, buy luxury items, install security features, make additions, add a swimming pool, rent out rooms, you get married, or you get divorced.
You Welcome a New (Furry) Family Member
You should always update your insurance when you get a pet. When you bring an animal into your home, you should let your Agent and insurance company know. Your homeowner’s insurance policy can cover you if your dog bites someone on your property but you need to make sure that they know and approve the animal beforehand. If something happens and they didn’t know, they won’t respond if/when you are faced with a lawsuit. This is another instance when your rates can rise as a result. Keeping your new pet a secret could cost you greatly in the long run. It’s always better to be safe and protected. And animal liability isn’t just for bites! Pets can cause lots of different types of unforeseen accidents where you would ultimately be held liable.
You Buy Luxury Items
If you buy expensive furniture or any other luxury items, you definitely want to make sure it’s insured. A homeowner’s insurance policy will cover the loss of valuables inside your home if they are stolen, but if you’ve recently bought a luxury item like a new car, jewelry, furs, or electronics, then it’s time to call your insurance Agent. You’ll want to make sure you have enough insurance to cover the replacement value of all of your expensive items. Many underestimate the value of their belongings and without updating their policy coverages, customers get frustrated when their policies are outdated and don’t fully respond to the loss.
You Install Security Features
Installing security features can bring down your insurance premiums. Adding an alarm system is nothing but beneficial when it comes to protecting your home. It’s a good investment when you create additional protection for your family and your belongings. Alarm systems mean that there’s less of a chance of someone breaking into your home, therefore making it safer. The safer your home is, the less your insurance is going to cost in the long run. You could essentially save up to 5 percent on your bills annually when you have a reporting alarm system in place.
When You Make Additions or Updates
When you make additions or updates to your home, you’ll want to check in with your Agent to make sure everything is covered adequately. For example, there are many deck features that can be costly to replace in the event of damage and you’ll want to make sure it’s covered before you spend a lot of money to create the addition. If you’ve updated your kitchen, added another bedroom, replaced an HVAC or water heater, or completed another large remodeling job, it’s important to notify your homeowners insurance Agent and talk a few things over with them. This will give you some peace of mind as you are updating your home. You may even qualify for a discount in premium when updates are reported accordingly!
You Added a Swimming Pool
There are a few changes that will increase the cost of your homeowner’s insurance policy, including adding a swimming pool. You can be liable if someone is injured or drowns while using your swimming pool. This is true even if the person is using the pool without your permission. Insurance companies take on more risk when they’re insuring homeowners with swimming pools and, as a result, premiums tend to be higher. Make sure you tell your insurance provider about your new pool. It’s very important to make sure that your coverages and liability are adequate before you use or invite others to enjoy your new swimming pool.
Renting
If you take on unrelated roommates or begin renting out rooms of your home, you must inform your agent. Renting out rooms might require the renters to provide their own coverage for the rented space. Multiple roommates can be included in the same policy, but all roommates’ names must be on the policy if you want them to be insured. Not including their names could be catastrophic in the long run. If something happens to one of your renters, then you’ll be the one in trouble. It’s best to make sure all your bases are covered just in case. It’s important to remember that anyone residing in your home long-term should be included in the listing of your policy. Don’t worry about how to play the system to get the best deal and lowest prices because most premiums are altered only a little for additional members. The small investment for proper coverage provided could be welcomed when disaster strikes.
You Get Married
You need to tell your insurance company when a pet joins your family and it’s the same with (new) people! When you are adding people to your family through marriage, you’ll need to let your insurance company know. If anyone in your family changes their name, you’ll need to update your insurance Agent in this case as well. If you don’t, they won’t be listed as a covered member on your homeowner’s insurance policy and you could wind up in a complicated situation. If you have a baby, you should update your policy in this case as well by adding their names to your list of family members.
Divorce
Family dynamic changes could also affect your policy. Divorce is one instance when you’ll need to update your insurance policy. You need to let your insurance company know if you are ever changing your family dynamic.
These are just a few of the things that can impact your homeowner’s insurance policy. Make sure you check with your insurance provider if anything changes and could potentially alter or change your insurance. Make sure to tell your insurance company if you get pets, buy luxury items, install security features, make additions, add a swimming pool, rent out rooms, get married, or divorced. Remember, by keeping your insurance company informed and updated, you are protecting the people you love.
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LEGAL DISCLAIMER
Views expressed here do not constitute legal advice. The information contained herein is for general guidance of matter only and not for the purpose of providing legal advice. Discussion of insurance policy language is descriptive only. Every policy has different policy language. Coverage afforded under any insurance policy issued is subject to individual policy terms and conditions. Please refer to your policy for the actual language.
