With everyone spending more time at home over the last few years, we know how fun DIY projects are! In fact, data shows that there was an expected 4.2% rise in do-it-your-self projects around the house in 2022. Before you dive into a DIY renovation project, you should consult with your independent insurance agent to make sure it’s not going to change your insurance rates.
While DIY projects can be a great way to save money and kill time, they can affect your home insurance rates. Some projects may improve your rates, while some may make them higher. So, put down the paint brush for a minute and let’s talk about 5 DIY home renovation projects that can impact your insurance.
Renovations That May Impact Your Insurance
To start, you should always notify your independent insurance agent before doing any major DIY renovation projects. It can be easy to get carried away and start swinging around a hammer before anyone’s looked at the paperwork. We’re going to go over some projects that may change your rates, depending on your policy.
1: Remodeling the Bathroom
We get it, you’re sick of looking at the linoleum tile that came with the house. You’re not alone. According to Statista, 33% of people who renovated their bathroom in 2021 did so because they couldn’t stand how it looked anymore. Bathroom renovations are some of the most common DIY projects people tend to tackle at home, and can increase your home value.
If you plan to renovate your bathroom yourself, there are several things to keep in mind. You’re working with plumbing, which can be a dangerous game if you don’t know what you’re doing. If you hire a plumber, keep in mind that any damage that happens while they’re working won’t be covered by your insurance. Make sure they have their own before getting to work.
Make sure to notify your independent insurance agent of the renovation, because the addition of the bathroom may mean you’ll need to upgrade your policy.
Another thing to consider is that the materials you’ll be using for the renovation such as countertops will need to be insured before they’re installed. Make sure your policy covers theft.
2: DIY Kitchen Renovation
Who doesn’t want a state of the art kitchen like on The Food Network? Remodeling your kitchen can add a huge increase to your home value, but before you get started there are several things to consider.
Just like with the bathroom, you may need to hire a plumber or an electrician to help you. Always, always, ALWAYS make sure anyone you hire is insured. They must carry liability insurance, and you can ask to see the certificate.
Before beginning the DIY project, talk to your independent insurance agent about whether you should increase your coverage before the project. You may not realize how much the renovation is increasing the value of your house. It could leave you uninsured in the middle of the project if you don’t increase it beforehand.
If you plan on having friends help you with the project, also consult with your agent. You may need to increase medical expense coverage. The last thing you want is for a friend to get hurt helping you out with a DIY project!
3: Sunroom Addition
A sunroom can be a lovely addition to any home. Pets, kids and adults alike love to bask in the sun reading a good book or just getting a good dose of Vitamin D. They are especially great in the winter time. Sunrooms can also increase your home’s value for when it’s time to sell. Keep in mind these considerations if you plan to put in a sunroom as a DIY project.
When you add a sunroom, you’re adding an entire room to your house. It’s not only going to increase the value, but also the square footage of your house. So, it’s crucial that you talk to your insurance agent beforehand to make sure that you’re insured throughout the project.
A sunroom can also potentially help you save on your insurance policy. For example, if you add solar panels, you may get a discount on your homeowners insurance.
4: Building a Deck
With spending all this time at home, you’ll probably want to improve your outdoor space, too! What better way to do so than with a new deck? A deck is a fabulous addition to your home to have a space for guests, and to hang out outside. Again, there are a lot of things to consider before grabbing some lumber and attaching a deck to your house.
Since this renovation is outside, you may need to apply for a building permit before you can start your project. All contractors helping you will need to have their own insurance, as well. You’ll also need to check in with your independent insurance agent to see how much square footage you’re adding to the house to see if you need to update your policy.
5: Adding a Home Office
As of 2022, 26% of employees in the US work from home. That means, quite a few people are going to need a home office. If you’ve got a room you’re not using, it’s the perfect way to use up wasted space. It’s also a fairly easy renovation.
Before you start, insurance can get tricky for a home office. If you’re running a small business, talk to your agent about whether or not you’ll need business insurance, along with workers compensation insurance. You’ll also need to consider protecting all of the equipment in the room such as computers with your insurance policy, too.
Insuring Your DIY Home Renovations With G&G Insurance
The bottom line is that you absolutely must consult with your independent insurance agent before starting a big DIY renovation at home. The good news is that an independent insurance agent will know the in’s and out’s of your policy and can help you very quickly.
If you’re ready to look into your home insurance policy, contact G&G Insurance today!