How The Construction Of A Home Can Change The Insurance Premium

29 September 2016

Robin Wells

Doing a project to improve your home can be valuable in many ways. Aside from the improvement itself and how it can play into curb appeal or energy efficiency, it can also help reduce how much you pay in home insurance. Here are some ways to lower insurance premiums through home improvements and construction materials.

Roof Replacement

Your home's roof is responsible for providing protection to the entire house. By selecting materials that will be able to resist impact and fire, it will be a safer material than those that do not. As a result, you could see your home insurance premiums go down by offering protection that can help save your home from more damage.

Be sure to check with your insurance agent for specifics on how you can get a discount for improving your roof. For example, you may only get a discount if you rip off the old roof before adding a new one, with layover roofs not doing anything to reduce premiums. You may find that the premium reduction could help offset the cost of having the old roof removed.

New Siding

There are siding types that can help save you money in the same way that your roof can. For instance, fiber-cement home siding offers protection against termites and fires. It is considered a masonry-type product by many home insurance companies, and you can receive a discount because the material is more durable.

Don't make the mistake of using the wrong type of siding material, because if you do, insurance premiums can actually increase. For instance, synthetic stucco siding is a material known to have problems with mold growth. This is because moisture can get into the siding and become trapped.

Use Less-Luxurious Materials

When doing a home renovation project, you may be tempted to use very luxurious materials to get the most out of the project. For example, this could include using natural stones for the exterior of your home instead of brick, or plaster instead of drywall for the interior walls. A material that is more expensive is going to cost your insurance company more to replace it, and, as a result, your home insurance premiums will increase with it.

Always consider the cost of material replacement when doing home renovation, and try to find a middle ground if you are worried about how much they will cause premiums to increase.

For more advice about lowering insurance premiums through home renovation projects, speak with an insurance agent at an agency like G William Collier Agency.

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