Remember how your mum always told you to tell the truth? As it turns out, when it comes to insurance, honesty is not always the best policy. (See what I did there?)
Last week, I learned a hard (and expensive!) lesson: when you plan on major renovations that involve electrical, plumbing, moving walls, etc., you can’t just insure your house with regular ol’ home insurance. Nope. Maybe most of you knew this already, but this is one of those “added expenses” that Chris and I were totally unaware of when we got the brilliant idea to basically build a new house from the inside out.
When our notary explained we would need proof of insurance on the day we sign the papers for the house, I thought, “No problem. I can do that in an hour or so.” Silly me. Just a few minutes into the conversation with our current insurance company, I was candidly revealing that we were converting a duplex into a cottage and yes, we would be moving plumbing. Would we be living there during the gut? Why, no. We have two small children and I suffer from asthma. They dropped us as clients like we were hot.
So what next? Well, come to find out, we need a special kind of insurance. The kind builders get because this job is so big, it’s classified as a construction site. That means big, big bucks and liability coverage, and yadda, yadda, yadda… the budget just took a big hit. To add insult to injury, since we’re planning on living elsewhere during the reno, the house is considered vacant and will not be insured for vandalism or really anything besides fire. Good times!
We’ve called an insurance broker and now we’re waiting for a bunch of quotes. He assured us that it will cost an arm and a leg, so… yeah.
The more you know!
Editor’s note: Chris is so cheap he’s willing to sleep on a mattress on the floor so the house won’t be “vacant.” Whatever it takes!