Changes occur in everyone’s life. Be sure to update your home insurance broker to ensure that you have the appropriate coverage.
There’s a great deal that can happen and change in a year – the length of a typical home insurance policy. Yes, your coverage will return seamlessly every year. But, when you make any changes to your home or your life, you want to have the proper coverage.
Update your home insurance broker of any changes you’ve made, or that have occurred in the past year. When you signed your policy initially your coverage reflected your needs at the time. At the time the policy renews, you should take the time to reflect on how those needs may have changed. Changes that might impact your home insurance coverage.
You may not know what the changes are that can affect your coverage. Here’s a little help. Update your home insurance broker when:
1. You make changes to your home
Insuring your home initially, your home insurance broker based the value of your coverage on a thorough assessment of your home. The assessment explored every detail of your home – the size, the number of bathrooms, the kind of heating, the style of plumbing and electrical, the type of roofing material, etc. These components influence how much it will cost to rebuild in the event of a complete loss.
Your coverage is based on components and systems at the time your insurance policy was created. Renovations and upgrades add value to your home so it’s critical that you update your home insurance broker and your policy to be fully covered. Another reason to update your broker is that some upgrades to the core systems (heat, electrical, plumbing) can save you money in lower premiums.
2. You operate a business at home
More common than ever, thanks to the pandemic, people are operating businesses big and small from their homes. This is something you should definitely discuss with your home insurance broker. Depending on the business, your existing policy may cover some, or even all, aspects of your home-based operations. In other cases, it may not. And, it can happen that unreported business activity could leave certain parts of your home insurance invalid.
3. Update your home insurance broker about a marriage or divorce
It isn’t only about changes you make to the structure of your home that can impact your insurance coverage. Changes within it make a difference, too. Changing your relationship status can also require an update to your policy. If you’ve moved from tenant insurance to a homeowner’s policy (or vice versa) your home insurance broker needs to know. Similarly, if you are adding another homeowner. Talk to your broker if your relationship changes and they can ensure that you avoid inadequate coverage.
4. Acquisition of valuables
Insurance for your belongings helps replace all you own if they’re lost or damaged by an insured event. If you purchase something of particular value after you signed your policy, contact your broker to see if you ought to reassess your insurance coverage. Curious about the value of your belongings? Here’s a good tool to help you calculate.
5. People moving in – and out of your home
When your broker designs your homeowner’s policy, the number of people who live in your home will be a factor. Particularly, when you have tenants or operate a short-term rental. To be certain, when someone moves in or out of your home, you should inform your home insurance broker to ensure that you continue with the right coverage.
Life changes happen to everyone and they can be very exciting. And certainly, we understand that your home insurance may not be front of mind as they’re happening. But, your home insurance broker is here for you to answer any questions and help to ensure you always have proper coverage. Talk to us!