Updating your home means updating your insurance policy
When you add an extension to your home, install new security devices or replace your weathered roof, your insurance policy may also need a makeover.
A new TD Insurance poll suggests that the majority of Canadian homeowners don’t disclose home improvements their insurer, even though it could mean a reduction in your premium. It could also leave you underinsured or not insured at all if it invalidates your existing policy.
“People buy insurance to have a safety net in case they ever need to make a claim,” Dave Minor, vice-president of insurance distribution at TD Insurance, said. “Once you make the claim, you don’t want any disappointing surprises. So before you pick up a hammer or hire a contractor, contact your insurance provider.”
The poll released this week suggested 6% of the 2,748 adults checked their policy to ensure their home was covered during the renovations and just 16% contacted their insurer to see if their existing policy needed to be revised. Nearly one-quarter of respondents weren’t aware that electrical upgrades could decrease their premiums while more than half didn’t know that installing granite countertops could have the opposite effect.