As a homeowner, it is important to be aware of the contractual obligations that you have in regards to your home insurance policy. Your policy was issued to cover your home, property, and contents as they were at the time it was first issued, so any significant changes need to be reported to your insurance broker. MBS Insurance Brokers Ltd. is here to help you understand your contractual obligations. Here are five of the most common changes that need to be reported:
- Home renovation
A significant home renovation is likely to affect the overall value of your home. You must actually notify your insurance provider about a renovation before any work even begins, as it is crucial to have proper insurance to cover the increased risk that comes along with any sort of construction.
- A pool or spa addition
Adding a pool or a spa may seem like a more minor renovation compared to larger interior changes such as a bathroom or kitchen renovation. However, it also changes how your home would be assessed and your insurance provider should be informed.
- Starting a home-based business
Regular house insurance in Edmonton is not made to cover the risks of a home-based business such as a daycare. Operating a business out of your home comes with liability that requires additional types of coverage.
- Renting your property
Likewise, renting out your property comes with unique risks that were not assessed or accounted for when you signed the application. You must advise your insurance provider that you intend to rent your residence as that is considered a material change in risk and different coverage is needed.
- A purchase of high monetary value
Objects of high monetary value, such as expensive pieces of jewelry or original works of art, must be noted on your policy if you want to ensure that they are adequately covered. Property policies generally contain special limits of insurance on certain items like jewelry, watches, and furs. An appraisal is needed to schedule any items on your policy. By scheduling the item on your policy, it will be subject to a lower deductible and you will have already proved you own the item as you provided an appraisal when it comes to settling any claims.
What Happens If I Don’t Report These Changes?
If you don’t report these changes to the provider of your Edmonton house insurance policy, you risk not being properly covered after a loss. Your home and contents need to be insured for their full value at all times in case of serious damage or destruction that results in a total loss. An up-to-date insurance policy will also help expedite the claims settlement process.
Flexible Home Insurance in Edmonton for All Your Needs
At MBS Insurance Brokers Ltd., we know that life circumstances can bring with it changes. We provide flexible home insurance and condo insurance in Edmonton that is easy to update if you make changes to your property. One of our friendly insurance brokers will have you set up with just the right policy to protect all of your important assets against a variety of insured perils.
To speak to an experienced broker about home insurance in Edmonton, just contact MBS Insurance Brokers Ltd. today.