When you’re planning a home renovation, whether it’s a kitchen upgrade, a new roof, or adding a backyard pool, insurance may not be top of mind. But it should be. According to a recent survey, only 47% of Canadian homeowners notify their insurance provider when completing major renovations. That means more than half are unknowingly leaving themselves open to serious financial risks.
Why It Matters to Tell Your Insurer
Updating your home or property often changes its value, safety features, and risk profile. If your insurance company doesn’t know about these changes, you could face gaps in coverage or even denial of a claim. Here’s why keeping your insurance professional in the loop is so important:
Protect the increased value of your home. Renovations like kitchen or bathroom upgrades, basement finishing, or new appliances raise your home’s value. If your insurance coverage isn’t updated, you may not be fully covered in the event of a loss.
- Potential premium savings. Certain improvements, such as replacing your roof, upgrading electrical or plumbing systems, or adding sump pumps, can reduce your risk of claims and may qualify you for discounts.
- Ensure liability coverage. During construction, the risk of accidents or injuries increases. You’ll want to make sure you and your contractor are protected.
- Coverage for vacant homes. If you need to leave your home temporarily during renovations, your property could be more vulnerable to theft or damage. Confirm you’ll still be covered while away.
- Consider a Builder’s Risk Policy. This type of coverage helps protect against theft or damage to building materials and unfinished work.
- Contractor protection. Always verify that your contractor has proper insurance, and keep copies of contracts, warranties, and guarantees for your records. For DIY projects, check that your liability coverage is adequate.
- Perform a home inventory. Before starting renovations, document your belongings. It makes recovery smoother in the event of theft or damage.
Renovations That Can Affect Your Insurance
- Major additions or home extensions
- New roof installations
- Pools and outdoor living spaces
- Home office or business setups
- Kitchen and bathroom remodels
- High-value appliances or contents upgrades
- Electrical, plumbing, HVAC, or waterproofing updates
- Adding or removing woodstoves or fireplaces
The Risks of Staying Silent
Failing to update your insurer can have serious consequences. If a claim arises and the insurance company discovers unreported renovations, they may deny coverage or cancel your policy altogether. In short: silence can be costly.
Peace of Mind During Renovations
Renovations can be stressful enough without worrying about coverage gaps. By keeping your insurance professional informed, you can focus on your project with the confidence that your home, contents, and liability are fully protected.
Need help preparing for your next renovation project or need to update your insurance coverage? Contact us today at 519-736-8228. We will review your plans and make sure your coverage is as solid as your new foundation.