Homes that Might Be Harder to Insure in Granbury
Obtaining home insurance is one of the smartest things a Granbury homeowner can do and in the event of purchasing a Granbury home with a mortgage, it may be a mandatory requirement for mortgage approval.
But as some home insurance companies struggle to stay in business they are begun to limit the coverage they offer on some property types and some insurance companies are letting go of their willingness to cover certain properties at all. It is good for a potential Granbury homebuyer to know what types of properties could recover more effort in a search for adequate homeowner insurance coverage.
Here are Some Property Types that Could Be Difficult to Insure
Upon opening new homeowner insurance coverage, the insurance company will expect the new homeowner to occupy the home within the first 30 days of coverage. Once the new owner is in the home they want to see that the home stay occupied and not empty for longer than 60 days.
This is due to the fact that a vacant property poses much more vulnerability to robberies. The likelihood of an unknown accident causing major damage is also much higher. For this reason, it could be more difficult to insure a vacation/second home.
Outdated Plumbing and Electrical
Older homes with major systems like plumbing and electrical that have retained their original interior structural systems pose safety and accidental emergency mishap risks. There is a higher likelihood of a burst pipe or an electrical fire when systems are old and outdated. This poses a concern to insurers as the risk and probability of emergency fixes rise.
In-Home Day Care
If you plan to use your home to provide child care for working parents your insurance company may deny coverage and require you to seek other forms of coverage or additional coverage for your in-home business.
Running a business in your home increases the risk of claims and they may want to know that you have insurance just to cover anything that may happen with your business to keep this risk at a minimum.
Homes with Structural Issues
If a home has significant structural issues like a crumbling foundation or a roof that needs complete reconstruction it could be a cause for an insurance company to deny coverage until issues are taken care of.
The Home Has Extensive Insurance Claim History
If the previous homeowners filed claim after claim on their insurance, this has nothing to do with you as a person, but it could spark concern with an insurance company. A large number of claims on a property breeds concern with insurance that the property is in disrepair and more claims are coming.
The home is in a remote area
A home that is further out and secluded from modern amenities can be harder to ensure. This is because the home takes longer to get to and could sustain more damage before emergency services arrive to help stop what is going on. For example, if a home is on fire it has a higher likelihood of burning a larger area of the property in the amount of time it would take to get firefighters to the home.
Historic homes with limited upgrades
They don't build homes like they used to with the detail of architecture and floorplan layouts. For this reason, it is not hard to see why some homebuyers are attracted to older properties with character not available in a majority of homes. But if a home is about 150 years old and a little has been done to bring it up to code should a disaster occur the repairs are extensive and expensive to get the home in order for modern coding. This can I make an insurance company reluctant to cover it as they are looking at the perspective costs of getting a home back up and running after a disaster.
Properties with what is considered an attractive nuisance
An attractive nuisance is a term used for a home that has amenities that seem great to a potential homebuyer but increase the risk of an insurance claim and therefore increase the risk of cost to the company to insure the property. These can be items like a hot tub, a swimming pool, or even a giant trampoline. Things that increase the risk of injury and a risk of a claim.
If you are shopping for a home in Granbury contact me. I'm highly knowledgeable in all Granbury real estate and can help you find a Granbury home that meets your wants and needs.