Will a change in my finances affect my insurance?

Your life can change quickly and your financial situation will evolve as a result. Some of these will be changes that you make, and others will be those that the world thrusts upon you. Either way, you need to respond by changing the coverage options and limits provided by your insurance policies.

Here, we will go over some common reasons for updating your insurance needs.

• Savings balance fluctuations - The money you have in your savings account could change the amount of insurance you want to have. While a large savings account might make you feel safe with high deductible insurance policies, changes in the market could mean that you need to switch to lower deductible plans. Your savings account balance may also impact how long a waiting period you select for your disability and long-term care policies.
  
  The purpose of insurance is to insulate your savings from the risks that you and your assets face each day. Adjusting your insurance policies over the years helps to aid this process.

Click to learn about other financial changes that affect your London auto insurance policy and coverage.

Insurance during Home Renovation

Renovating your home, either to boost the resale value or to improve quality of life while you live in it, is almost a no-brainer. But the act of remodeling, and the results that come after, can have a dramatic effect on your homeowners insurance coverage.

Insurance during the Renovation

While you renovate your house, you need to make sure that you have the proper liability coverage in place. If you employ contractors to work on the house, they may have their own insurance. But handymen and others, if injured, can place a claim against your homeowners insurance policy.

Some working conditions may create a more dangerous environment in your house and expose the interior to damages. Make sure that you do your due diligence to lessen exposure so that you are not blamable and putting yourself in a bad position.

The materials you pick during the house renovations could have an effect on your homeowners insurance premiums. Make sure to adhere to the most current code guidelines when implementing improvements and buy materials that protect your house against harm so you can see a discount reflected in your homeowners insurance policy.

Finally, think about your belongings during the renovation. In some rooms, you may have to secure temporary, offsite storage for the contents. This can take them out of the purview of your policy and expose you to risk of loss unless you have a supplementary plan of coverage for them while they are offsite.

Insurance after the Remodel

Once you remodel your house, your property value will increase as will your replacement costs. And if any redecoration is included in the remodel, the value of your personal property might have increased as well. All of this translates into a need to revise your home insurance policy to reflect your new values. Increasing your limits ensures that you can get exactly what you need out of your policy in the event of a post-remodel insurable incident. 

It’s not hard to update your home insurance policy to reflect these changes. Just contact your agent and let them know what you’ve updated, and they can help you figure out what your new property and contents limits should be. Since this will likely increase your insurance premium, you can consider raising your deductible a bit in order to balance it out.

Contact us at Excalibur Insurance Group today to make sure your London home insurance policy is all up to date!