Home Insurance : Focus on Renovating Image

With a huge demand in DIY-style renovations across Australia, it can be common to start renovations without proper planning or advising your insurance company. We explain the risks involved.

Insuring our homes is often overlooked by many Aussie homeowners when renovating, here are some tips to help you manage your renovation whilst staying protected.

  1. Whether you are buying a new or existing home and contents insurance policy, it is important to let your insurer know if you intend to renovate your home. Insurers need to know this information as renovations can affect the risk of property. Depending on the nature or value of the works, some insurers may require you to pay an additional premium, alter the terms and conditions of your policy before providing cover, or exclude cover altogether. If you do not inform your insurer of your renovations your insurer may refuse to pay a claim. You should promptly contact your insurer to let them know that you are intending to renovate, so you can avoid any unexpected surprises.
  2. When renovating, take the opportunity to address some of the wear and tear issues around your home. For example, if you have tradespeople doing plumbing work, it might be cost effective to do a simple check of old taps and connections when they are there. Poor connections from the water main to major appliances, sinks, and toilets is one of the top reasons for water damage to a home – and often the cost to get them replaced during renovations is less than the excess you may have to pay in the unfortunate event that you need to make a claim.
  3. Lastly, when the renovation has been completed, we recommend that you review your insured value to check it is adequate. Contact your insurer if you need to adjust your insured value, or, if you simply need to let them know that your renovations are complete.



Insurance and Membership Services Limited ABN 59 057 159 743, AR No 246235 trading as COTA Insurance (COTA, we, or us), arranges this insurance as agent of the insurer Allianz Australia Insurance Limited (Allianz) ABN 15 000 122 850, AFSL No. 234708. Any advice here does not take into consideration your objectives, financial situation or needs, which you should consider before acting on our recommendations. Policy terms, conditions and exclusions apply. You should read and consider the relevant Product Disclosure Statement available at cota.com.au before deciding whether to acquire any product mentioned. The relevant Target Market Determination is available by calling 1300 1300 50. We receive commission on these insurance products as a percentage of the premium paid for each policy ranging from 0.3% to 25%. Allianz also pays us a percentage of the profit which exceeds the agreed profit threshold for Home (excluding flood), Landlord (excluding flood), Additionally, we receive a marketing allowance from Allianz every 2 months, which is a percentage of the total premium earned on these policies in the previous 2 months. Ask us for more details before we provide you with our services by calling 1300 1300 50.