But here’s something that’s often overlooked: your insurance policy should grow along with your renovations. If your coverage isn’t updated to reflect your improvements, you might be underinsured—and that could lead to big problems if you ever need to file a claim.
Let’s walk through when and how to update your home insurance during (and after) your renovation projects.
Why Renovations Affect Your Insurance 
Home insurance is designed to cover the cost to rebuild or repair your home if it’s damaged. When you make upgrades—especially significant ones—you may be increasing the rebuilding cost of your home, and possibly adding more valuable features or personal property that weren’t part of your original policy.
Not updating your policy could mean your home is no longer fully protected for its rebuild cost, which is not something you want to find out after an emergency.
When to Let Your Insurance Agent Know
You don’t have to call your insurance agent every time you buy a new throw pillow—but there are definitely times when it’s worth picking up the phone:
✅ Major Renovations or Additions
- Kitchen or bathroom remodels
- Room additions or conversions (like finishing a basement or attic)
- Building a new garage, sunroom, or deck
- Adding square footage
These can significantly change your home’s value and replacement cost.
✅ Upgrades to Systems or Materials
- New roof, plumbing, or electrical systems
- Installing high-end flooring, countertops, or custom cabinetry
- Replacing windows or adding energy-efficient features
Even if the footprint doesn’t change, these updates can affect your coverage needs.
✅ Big Purchases
- New appliances or electronics
- High-value art, furniture, or tools
- Outdoor equipment like grills, patio sets, or lawn tractors
If you’ve increased the value of your belongings, make sure your personal property coverage keeps up.
What to Ask Your Insurance Agent 
When you call your agent, here are a few things to discuss:
- Does my current dwelling coverage reflect the new value of my home?
- Will my premium change? If so, by how much?
- Should I increase my personal property limits?
- Are there discounts available for safety upgrades (like a new roof or security system)?
- Do I need additional endorsements or riders? (This might apply if you’ve added luxury items or created a home office.)
Working with Contractors? Ask About Liability
If you’re hiring a contractor, make sure they have their own insurance, including:
- General liability insurance (covers property damage or injuries)
- Workers’ compensation (protects you from being liable if a worker is injured)
Ask for proof of insurance before they start work. It’s a small step that can protect you from big headaches.
After the Dust Settles: Update Your Inventory
Once your renovation is complete, take time to update your home inventory. This is a list (with photos or videos) of your belongings and their estimated value—super helpful if you ever need to file a claim.
Renovate Smart, Insure Smarter
If you’re planning or finishing up a renovation this spring, let’s connect! We’ll review your current policy, walk you through any needed updates, and make sure your improved home is as protected as it is beautiful.
Give us a call or—we’re always happy to help your home insurance keep up with your home sweet home.
