Insurance Concerns When Remodeling
There’s so much going on when you remodel your home, but have you thought about insurance? From contractor insurance to additional insured, there are multiple steps you can take to help better protect yourself and your home. Our resident experts, Gregg Cantor from Murray Lampert Design, Build, Remodel and Joel Matthews from Christian Brothers Restoration, tackle what insurance information you need to know before you remodel.
Details of ‘Remodel Insurance’
[Sean] It’s time to ask an expert where we tackle everyday home improvement topics to help you better understand your home. Today I’m with Gregg Cantor, our resident expert from Murray Lampert Design, Build, Remodel and Joel Matthews from Christian Brothers Emergency Building Services. So today we’re talking about the remodeling process and what are some of the important insurance aspects with that. Let’s talk about before the remodel. What are some important things there, Gregg?
[Gregg] Well, number one, Joel I think you’d probably agree is the homeowner should contact their insurance company, right?
[Joel] Yeah, absolutely. Before you’re doing any type of work I would just let them know, hey, this is what we’re planning, and then you’re going to continue with Gregg and go through that process.
[Sean] So, that’s going to bring them in early and so they’re involved in the entire process. What are the other things that are important maybe on the contractor side?
[Gregg] Well definitely make sure that the contractor is fully insured. That means liability, bonding, and worker’s comp so that you know that you’re safe in case there could be damage or destruction. As a homeowner you just want to make sure that you’re in good hands.
[Sean] ‘Cause, Joel, if they’re not covered under that then people don’t realize the homeowner could be liable for things that happen because of the contractor, right?
[Joel] Yeah, absolutely. So, again, just making sure you do have that all those things in a row before you get that process started.
[Gregg] And also make sure you ask the contractor to have their agent send an additional insurance certificate naming the homeowner so that way the homeowner doesn’t have to worry about any recourse on their insurance.
[Sean] Okay, that’s great advice getting the additional insured. There’s a thing called course of construction. What is that?
[Gregg] So, what course of construction is in a remodel situation let’s say we’re building an addition and there’s a fire in the kitchen unrelated to our work. Well, our coverage isn’t going to take care of that accident. So, the homeowner may want to consider course of construction insurance which is pretty cheap. It’s maybe five hundred, six, seven hundred dollars and that way they have a roof over their head that’s pretty much bulletproof.
[Sean] That’s money well spent. Now let’s talk about after. The coverage is important to have. What you’ve added in value is covered under the policy.
[Joel] Yeah, absolutely. I would just recommend any type of work you’re doing at your home you want to let your insurance provider know so they can make sure you have the proper coverage. Typically, a good insurance provider is going to cover that on a yearly basis, but you can always reach out as a homeowner as well.
[Sean] And you should get that annual review.
[Joel] Yeah, absolutely.
[Sean] Thanks so much guys. If you have questions for our experts or want to see more information on previous questions, visit ApprovedHomePros.com in our Ask An Expert section.