Will Your Interior Decorating Project Increase Your Home Insurance Premium?

In addition to trends, color schemes and themes, there’s one more thing you need to consider when decorating your abode: homeowners insurance quotes. Changing the look of a room sometimes alters the value of a home, thus also changing insurance requirements. If you’re planning on redecorating your home or even a portion of it, keep your insurance policy in mind. Both your dwelling and personal property coverages might need to change.

Dwelling coverage

Your dwelling coverage is the amount of money it would cost to completely replace your home in the event of a total loss. This protection makes up the bulk of your insurance policy and is generally calculated by multiplying the square footage of your home by the average construction costs per square foot in your ZIP code. However, dwelling coverage also varies based on the value of certain features of your home. Households with plenty of upgrades, such as granite countertops and hardwood floors, cost more to repair or rebuild. Keeping this information in mind, it makes sense that deluxe homes require more dwelling protection in case of a covered disaster — there’s more to replace.

If you choose to refinish your kitchen counters or update your household’s look in any other way, consider how such a change might affect the value of your home. If your interior decoration project is going to drastically increase how much your home is worth, be sure you let your insurance provider know so that your coverage limits can be increased, too. Yes, you can expect your premium to go up a bit. But if you ever need to replace the home as part of a covered claim, you’ll be glad you were proactive.

Personal property coverage

Frequently interior decorating projects don’t just change your home; they also change what’s inside your home. While redoing your home, you might choose to purchase a whole new dining room set, complete with table and chairs. These items might cost more than the items they replaced, so you want to make sure you take stock of them.

If you’re going out and buying new furniture or other items for your interior decorating project, keep the receipts. Take the time to make a record of all your belongings with a home inventory. This list of your home’s contents will make proving its worth much easier if you ever have to file a claim. Instead of guessing the value of the damaged property, you have a detailed list to serve as proof for your home insurance provider.

What about particularly pricey items? Say you decide to purchase an expensive painting to hang above your fireplace or a vintage piano to put in the middle of your living room. Standard home insurance policies typically limit payouts for high-value items. Check with your agent and see whether you need to schedule an endorsement for these items.

The best way to get a clear picture of your insurance needs is by speaking to a licensed agent. Qualified professionals will be able to tell you if whatever changes you want to make to your home will increase your home insurance premium. If you’re just completing a small project – such as painting the kids’ bedrooms or adding new throw pillows to the living room couch – you obviously don’t need to worry about your provider hiking your insurance rates. On the other hand, if you want to completely redesign a room in such a way that it might alter the value of your home, you’re better off consulting an agent about the effect on your policy. With a little care and some forethought, you can redecorate the home of your dreams while making sure that you still have adequate insurance coverage.

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