Because of the COVID-19 pandemic, people were unable to take vacations that they would have ordinarily taken. During all the time at home, many people recognized some of the drawbacks of their house’s design and thought of ways to improve it. 

If the pandemic inspired you to make home improvements, those upgrades may mean that your old homeowner’s insurance policy is no longer adequate. You may need to make changes to your coverage.

Home Improvements Can Increase the Value of Your Property

Your homeowner’s insurance policy includes coverage to rebuild your house if it’s completely destroyed. If you built an addition or upgraded the interior, those changes may have significantly increased the overall value of your home. If that’s the case, the coverage you have may no longer be enough to replace your house in the event of a total loss. 

A Home-Based Business May Require Additional Coverage

The pandemic forced millions of people to work from home. Some enjoyed the flexibility of working at home so much that they want to continue to do that for the foreseeable future, at least on a part-time basis. 

Having an office at home is convenient, but it can also affect your insurance coverage. A standard homeowners insurance policy will provide some coverage for office equipment in your house, but it may or may not be enough, depending on the type of work you do. 

If you decided to open a home-based business and customers or clients visit your home, you may need to increase your liability coverage. If someone gets hurt at your house and you don’t have high enough coverage limits, you may find yourself getting sued for medical bills and other expenses, which can put your business, home, and savings in jeopardy.

Some Home Improvements Can Increase Your Risk 

The cost of your homeowner’s insurance is based on how risky your property is from an insurer’s perspective. If you installed a pool or made another upgrade that increased the risk of a significant accident occurring on your property, you may need to raise your liability coverage. An insurer may also require you to take steps to prevent an accident, such as installing a fence around a pool.

Make Sure You Have the Right Homeowners Insurance Coverage

Home improvements can cause your insurance needs to change. If you have to raise your coverage limits, that doesn’t necessarily mean that your premiums will skyrocket. 

Petruzelo Insurance can help you figure out what coverage you need and compare rates from several leading insurers. You may find that raising your limits and switching to a different company will have little impact on the amount you pay in premiums. 

Contact us today so we can help you find the right coverage for your needs and budget.