A home renovation gives you more space and makes the house more livable. It is also usually much less expensive than buying a larger home. However, when undergoing a renovation project, you have to consider questions of insurance, both your own and that of your contractors. Below are some of the insurance matters to keep in mind when remodeling your home.

A Guide to Home Remodeling and Insurance

Liability Coverage

During the project, you will presumably have strangers in your home for days or weeks. They'll be carrying heavy objects and working with dangerous tools. It is therefore crucial that you have adequate liability coverage as part of your homeowner’s insurance policy. This covers the costs of repairs and medical treatment if any of the workers should injure themselves or damage their equipment due to your negligence. It also pays for any legal bills that arise out of the incident. Moreover, it is just as important that the people you hire have business liability coverage. This protects you financially in case one of them damages your property or injures someone. Make sure your general contractor and all subcontractors—plumbers, electricians, etc.—are fully licensed and insured.

Personal Property Coverage

Contact your agent to find out if your policy covers your personal property—furniture, electronics, appliances, etc.— during remodeling. Some insurers exclude coverage under such circumstances. Also, if you must move some or all of your belongings out of the house and into a storage unit or onsite storage container, make sure your policy covers those items.

Dwelling Coverage

Dwelling coverage pays for losses to the structure of the home due to fire, storm, falling objects, vandalism, and more. Chances are, after your remodeling project is complete, your home will be worth more than it was. Therefore, it's essential that you review your dwelling coverage and make sure its payout limit will fully cover a total loss of the home. Ask your contractor to give you an estimate of the cost to rebuild the home to newly improved state and use that amount as a basis for replacement cost coverage.

To have a friendly, knowledgeable insurance agent help you design the ideal homeowners insurance, contact Advantage Insurers in Demorest, GA. They serve businesses and individuals in and around Habersham and White counties, offering high-quality auto, home, life, farm, and business insurance instruments. Visit their website to request an insurance quote or call (706) 754-1590 to discuss your needs with an insurance agent.