You may not realize that an unoccupied home or a vacant home is one that could lack home insurance coverage. If you are like many people, you go on with your day without thinking twice about letting your insurance agent know what you are doing. However, if you are moving out of your home for any length of time – even for a long vacation – you need to tell them. If you do not, it could cost you big time.

What Coverage Does Your Home Insurance Offer?

Most home insurance policies do not cover any type of long-term vacancy for your property. The content of your policy will specifically outline your requirements to inform your agency of the vacancy at your home, too. Why do they care?

Specifically, a home without anyone living in it is at a higher risk than others. For example, you move out but leave the home empty for a while; there is no one there to keep it safe. This means it is likely to be broken in to or vandalized. Here’s a look at what your limitations may be.

Home Vacancies

A vacant home is one where no one is living in it. You’ve moved your furniture out of the home. You no longer have the utilities operational. This home is not one someone could easily live in the next day. Most home insurance policies only cover vacant homes for up to 30 days. And, in this case, only if you inform the insurer in advance.

Not many companies offer vacant home insurance policies. The risks are too high. Someone could enter the home, cause thousands of dollars worth of damage, even setting it on fire, and there is no one there to prevent it. If your home is vacant, discuss this with your agent and talk about security options thoroughly.

Unoccupied Homes

Another type of concern comes from the unoccupied home. This type of home has furniture in it, the utilities on, and someone could live there right away if desired. This home is still a big risk to the insurer simply because there is no one to know what is happening at the home.

Imagine what would happen if someone found out the home was unoccupied. They could enter it, steal from you, and you may not know for several days. Home insurance companies limit coverage for unoccupied homes to under 60 days. And, again, you need to inform the company in advance of this occurring.

Seasonal Homes

A seasonal home is one requiring a specialized insurance policy in most cases. The coverage generally needs to be specific to the way you use it. For example, if you use it on the weekends most weeks, be sure the agent knows this. If you rent it out – which is common for some people who own second homes in Madison and the surrounding area, then you need a customized policy for this, too.

Be open and honest about your use of your seasonal home. Some insurers may simply extend your existing primary residence policy to cover these homes. In most cases, you will need a sperate policy.

Avoid the Risks with the Right Agent

Work with a home insurance agent that understands your situation and can offer specific solutions. In most cases, vacant home insurance and unoccupied home insurance is hard to obtain. You want a licensed insurance agent who can help you navigate this difficult area with ease.

More so, be sure to inform your agent right away when you leave the home. At Homewood Insurance Agency, we are here to help you adjust your policy to fit your life.

This is a recommendation we always make to homeowners planning significant renovations – check your contractor’s commercial insurance. The simple fact is, if you don’t, your home insurance policy may have to kick in to pay for any losses that occur. How can your home insurance play a role here?

Here’s a simple example that’s happened plenty of times. You hire a contractor to add a new bathroom to your home or to finish out the attic. The contractor gets started, but a worker is hurt on the job. Perhaps the worker falls and suffers a broken bone. Or, the contractor causes damage to your home through poor workmanship. In situations like this, you want to know the contractor’s insurance is there to provide financial support if there is a need.

What should you know? How can you protect yourself?

What Type of Commercial Insurance Does a Contractor Need?

You may have heard recommendations previously to ask if a contractor is properly insured. Your goal should be to make sure the contractor is insured, but also that it is fully licensed. You want to see the Certificate of Insurance provided by the insurance company to the company as well. Take a look at some of the most valuable types of coverage these contractors should have in place.

Workers’ Compensation

Perhaps the most important step is to ensure the company has proper workers’ compensation insurance. This type of insurance covers the costs of worker injuries on the job, including at your home, if they are hurt while working. In Wisconsin, all employers with three or more employees must have this type of insurance in place.

General Liability Insurance

Commercial general liability insurance provides for help when the company is facing negligent claims. If the company, for example, makes a large mistake while planning or executing your project, this policy may help cover some of those costs.

Builders Risk Insurance

For larger scale projects, builders risk insurance is important. It can help provide some protection for the materials, fixtures, and equipment used on the job.

Commercial Auto Insurance

Most contractors operate vehicles as a component of the job. Most have a large amount of equipment or tools in them. But, what happens if the tools are stolen while the car is parked on your property? This type of insurance may help cover those losses.

What Your Steps Are

As you work to hire a contractor for your project, take a step back. If you focus on just a few things, you may be able to avoid some of these risks.

#1: Know Who You Are Hiring

Learn about the company’s reputation and ability to meet your needs. You want to review the type of service they offer, their workmanship, and any information from previous clients. Look at pictures to see the differences when possible.

#2: Make Sure You Verify the Insurance

Call your Madison, WI home insurance agency to find out if the company has coverage. Our team can help to verify this information for you. We can work to make sure the coverage is adequate for your risks. Be sure to check that the policy is up to date, too.

#3: Let Us Update Your Existing Policy

Finally, you need to be sure your home’s insurance policy is up to date after your project is up to date. For example, a new home addition adds value to your home. Our team works closely with you to make sure your policy matches the value of your home.

At Homewood Insurance Agency, we are happy to help you find the policy you need. Making sure your contractor’s insurance is up to date, and right for the project is essential.

There were more than 1.3 million fires that caused $14.3 billion of damage to homes in the U.S. in 2015 alone. Thousands of people were injured in those fires, and some even lost their lives. Although those numbers are down approximately 20 percent since 2006, there is still much to be learned about the ways these tragedies can be prevented. In this post, we’ll explore seven of the most common causes of household fires and what you can do to prevent them.

Kitchen Cooking

By far, in-home cooking is the number one cause of house fires and fire-related injuries – something that is easily prevented with proper precautions. When you cook, be sure to remain in the room at all times when using your range to fry, grill, or boil food. If you are baking, always use a timer, so you do not forget about the food while it is still in the oven. Furthermore, scan the cooking area for any materials, such as paper towels or oven mitts, which could easily catch fire if left near your cooking equipment.

You should also have a contingency plan in place in the event of a kitchen fire. For example, you wouldn’t want to use a fire extinguisher or douse a grease fire with water, as it could worsen conditions. Instead, slide a lid over the fire to contain and smother it, and then turn off the burner. If you cannot safely do so, remove everyone from the home and call 9-1-1.

Grilling

Grilling not only makes your food taste great, but it could be just the reason you need to get together with friends for a good time. Of course, it’s all fun and games until a fire breaks out, destroying your deck and potentially spreading to your home. Before you start up an open flame this summer, make sure to pull the grill away from your deck railings, eaves, and any overhanging branches. Stay beside the grill at all times while cooking, and clean off residue and buildup before using it again.

Burning Candles

Candles are responsible for thousands of home fires every year. Even small flames contained in a fire-safe container can spark a fire – particularly when combustible materials are left nearby. While flameless options are the safest, there are still steps you can take to reduce your risk of a candle-related fire if you choose to burn the real thing. First, place candles out of the reach of children and pets, where they could easily be knocked over and start a fire. Next, be sure to remove all flammable materials from the vicinity, including combustible liquids.  Finally, never leave a candle burning unattended or while you are sleeping.

Dirty Dryer Vents

Nearly twice as many house fires are caused by dryer vents each year than those that are caused by candles. When lint builds up in the vent, it can get overheated and catch fire. To prevent a blaze, always remove lint from the dryer screen each time you complete or start a load. It’s a good idea to keep an eye on your vent duct, as well. Accordion-style ducts can create ‘low-points’ for lint to accumulate over time, ultimately creating a fire hazard. Alternatively, you could replace the foil duct with a short, metal duct that is less likely to sag.

Electrical Problems

There are tens of thousands of electrical fires each year in the U.S., many of which are caused by loose-fitting or overloaded electrical outlets. You can reduce the risk of these types of fires by unplugging appliances when they are not in use and using extension cords and surge protectors both temporarily and sparingly. Never force a plug into an outlet or remove its third grounding prong to make it fit. Finally, make sure your home is equipped with working ground fault circuit interrupters (GCIs) and arc-fault circuit interrupters (AFCIs), which can help prevent electrical fires.

Portable Heaters

It stays cold many months of the year here in Wisconsin, which is why many people opt to use portable heaters as a means of spot-warming the home and reducing heating costs. If you opt for a space heater, be sure to leave it in an open space at least three feet from other items and combustible materials. Make sure the heater is on level ground to reduce the risk of it tipping over, and never leave it running unattended.

Flammables

Many people are surprised to find that you do not always need the application of heat to start a fire. However, that is exactly what can happen when you combine flammable liquids like solvents and stains with combustible materials, like rags and drop cloths. To avoid a disaster, let rags dry in a metal container with an air-tight lid, but never in an open-air pile. Always read the manufacturer instructions for proper disposal of flammable liquids.

While you may not be able to prevent all fires, proper precautions can significantly reduce your risk of filing an insurance claim in the future. For more information about preventing fires and the ways you can protect yourself against loss, contact our office today.

Over the years, the Madison area has seen too many fires that left families suffering the loss of their property and in some cases, even their lives. We would like to pass along a few suggestions to ensure this never happens to you and your family.

Install a Carbon Monoxide Detector

Do you know that carbon monoxide is a type of odorless gas that you cannot see that can cause death within a matter of hours? What’s even more worrisome, according to the U.S. Centers for Disease Control and Prevention, is that the most common causes of it are present in just about every Madison home – you have a furnace, clothes dryer, fireplace, or attached garage, a small opening on a vent can cause a leak and without proper venting, become life-threatening in a matter of minutes.

So, what can you do?

• Install carbon monoxide detectors in your home. Place them on each floor of the home, especially near the bedrooms.
• Test them every month. Be sure you replace batteries at least one time a year.
• Have a professional maintain all your home appliances. Invest in an annual inspection to ensure they are all working safely.

Install or Update Smoke and Fire Alarms

Smoke alarms are relatively inexpensive and they save lives. Be sure you have the right type of alarm, and you have enough of them amount of alarms in your home. Here’s your checklist:

• Invest in smoke and fire alarms (combinations are available). These detect smoke as well as heat.
• Upgrade to a connected system. These will warn of a risk throughout the home, not just in one area. Some even link to your smartphone for improved communication.
• Test them on the first of every month. Replace the battery one time every year – at least. And, replace them in total every ten years.
• Check to be sure your alarms are not affected by the recent Kidde recall. If you have these fire alarms in your home, you need to replace them immediately.

Invest in Fire Extinguishers

Fire extinguishers are necessary to prevent a small fire from becoming a big one. We encourage you to purchase enough for the entire house as well as your garage, then teach the entire family how to use them. This will provide you with incredible protection going forward. Here’s your checklist:

• Choose the right fire extinguisher. There are various models available. We recommend one that can handle paper and plastic, as well as electrical, and chemical type fires. These are the most common concerns in homes. A Class ABC extinguisher that is rated by a national agency is best.
• Ensure every member knows how to use it. OSHA offers some guidance on this.
• And, be sure to look for recalls. If you have a Kidde model, you may need to replace it with a new one.

While we are not fire prevention experts, we are available to answer your questions about how to protect your finances in the event of a fire. Call or email us today to talk about how we can help you with your homeowners insurance.