Why you should tell your insurance company you’re renovating before you begin
Renovating your home can help increase its value, attract new buyers, and refresh the home. However, it can also leave you open to some extra risks. Here’s what you need to be aware of:
Renovating and building can make you a target for thieves. If the access to your home has been altered, alarm system switched off, or building site left unsecured due to the renovations, your home and building could be left vulnerable to theft.
The weather stops for no-one
Your building insurance will need to extend to your new building structure. This will help ensure that if a fire, flood, or storm hit, you’re insured for the damage that follows and can rebuild to the same value.
Understanding building insurance
There could be clauses in your current building insurance policy which come into play when you begin renovating. Ensure you read your policy carefully to understand it, and make any necessary additions.
Rebuild to the same value
Once your renovations are completed, your home may increase in value. This means that when it comes to rebuilding in the worst-case scenario, you’ll need to add this value to your building insurance policy. This includes your sheds and garage and any other external buildings.
Renovations and building insurance
Make sure you let your insurer know before you renovate, they will be able inform you of any policy conditions and assist with any changes that need to be made to your policy. For more information on building insurance, Home & Contents Insurance.
Standard underwriting criteria and policy terms and conditions apply. Insurance issued by Insurance Australia Limited ABN 11 000 016 722, AFSL 227681 trading as CGU Insurance (CGU). In arranging this insurance, Victoria Teachers Limited ABN 44 087 651 769 AFSL 240960 trading as Bank First (Bank First), acts under its own AFSL and under an agreement with CGU, not as your agent. Bank First receives commission when selling CGU insurance products. Please refer to Bank First’s Financial Services Guide (FSG) for details of these commissions. Any advice is general only. This information does not take into consideration your objectives, financial situation or needs. Therefore, you should firstly consider the appropriateness of this information and refer to the relevant Product Disclosure Statement (PDS) before acquiring a product, available by calling 1300 654 166, visiting a branch or by visiting Bank First’s website.