Do you need specialist insurance when extending?
If you’re planning on extending your home, then make sure your project is correctly covered for peace of mind. Did you know that most home insurance policies were not designed to cover your existing property whilst being worked upon or the workmen doing the work?
It is estimated in a recent survey 55% of people carrying out structural works did not advise their insurers – meaning they effectively had no cover.
Planning on extending? This is what you need to know about specialist extension insurance policies.
1. You Might Need Specialist Extension Insurance
The existing buildings need to have a policy to cover them while being worked upon (which a standard home insurance policy may not do). This includes barns or outbuildings that are being converted and/or extended. It does not matter if you are doing the work or the works are contracted out.
Even if the buildings are dilapidated, you still need adequate cover. Fire could destroy the building and you could end up with a substantial bill for removal of debris and/or any pollution or contamination as a result of the fire.
2) You Still Need Insurance Even if You are Employing Subcontractors
Whether you are doing the work yourself or are employing a main contractor or trades, you will have liabilities to them and others. You need to ensure that your insurance policy offers protection against claims and the costs of defending claims. If you use a main contractor, you should also make sure that they have adequate insurance.
3) One Specialist Policy will Cover All You Need
Materials, plant and equipment, being used/installed can all be covered under the one policy.
4) You’ll Need a Structural Warranty
If you are borrowing money for the extension, then your lender may well insist that the new works have a 10-year structural warranty. Remember anyone purchasing your house in the next ten years will also require it.
5) Check on the Conditions of Your Home Contents Insurance
If you are living in the house whilst works are underway, make sure the house is kept secure. You should also check on the conditions of your home contents insurance as cover could be negated by lack of security with windows and doors (and locks) being removed. You may need to remove items to safe storage.
Need a Specialist Policy?
The risks concerned with extending you home can be covered by site insurance and structural warranty policies from Self Build Zone all backed by ‘A’ rated Insurers.
Self Build Zone can also help with non-negligence cover JCT 6.5.1 and the Party Wall Act.
This article was first published here: https://www.homebuilding.co.uk/do-i-need-specialist-insurance-when-extending/