Compass Greater NY, LLC
Ann Marie Damashek, GRI, CBR, SRES, Compass Greater NY, LLCPhone: (917) 623-0624
Email: [email protected]

Will Your Home Insurance Cover Your Next Renovation Project? What You Need to Know

by Ann Marie Damashek, GRI, CBR, SRES 02/11/2024

Your home insurance policy includes a specific type of coverage called "dwelling coverage." The amount of dwelling coverage that you have is based on your overall home value and the approximate cost to rebuild your home in the event of a total loss. When you renovate your home, you may increase its value — and if you don't inform your insurance company, you may be left underinsured.

These are the home improvement projects that could affect your overall value and require you to increase the amount of insurance coverage that you have for your home:

Adding a Pool or Hot Tub

When you decide to install a pool or hot tub in your backyard, you are likely thinking more about the endless days and nights that you will spend relaxing. However, these home improvement projects may increase your home's value — as well as your liability — which may cause an insurance premium increase. It's important to budget for this when you consider the overall cost to install and maintain your new pool or hot tub.

Replacing Your Home Siding

Replacing the siding on your home will have a significant impact on your property's facade. Not only will it boost your curb appeal, but it will also increase the value of your home. The increase in value may be so high that it could leave you without enough insurance coverage in the event of an emergency, so you should inform your insurance company that you are taking on this project.

Upgrading the Kitchen or Bathroom

Kitchen and bathroom renovations offer you the highest return on your investment, as these projects make your home more appealing to potential buyers and can drive up the sale price of your house. Noting the high ROI, it's necessary to keep your insurance company informed when these projects are complete.

Investing in a Home Addition

A home addition, such as a second story or additional living space that changes the footprint of your home, will significantly change the value of your home. This is perhaps the most important project to tell your insurance company about, as you do not want to risk being underinsured after you have finished a beautiful home addition.

In order to fully understand the impact that your home renovation project may have on your homeowner's insurance policy, contact your insurance agent prior to beginning the project. This will give you an idea of the impact that your project will have on your coverage and will allow you to budget for any insurance premium increases that may occur.

About the Author
Author

Ann Marie Damashek, GRI, CBR, SRES

Ann Marie Damashek has always been a natural at helping people prepare their homes for sale. She started out with a successful business selling goods for people on eBay. "Nine times out of ten they were hiring me because they were down-sizing,” Ann Marie says. "So I decided to get my license. I said, ‘Might as well sell their house too.’” The transition was a smooth one and for nine years she’s had a thriving full-time real estate business that allows her to marry her entrepreneurial spirit with her passion for helping others. With an office in Larchmont, New York, she serves all of Lower Westchester County, with her primary market in the Sound Shore region. The majority of her business is "sphere of influence” with former clients referring her to friends and family. A gifted communicator, Ann Marie quickly builds trust and rapport with her clients by being both thoughtful and responsive; she understands that during the purchase or sale of a home, a quick response time is crucial. "I am very accessible,” Ann Marie says. "I always make time for my clients. They can call me, text me, email me up until 10 o’clock at night and I will respond. I’m available on weekends. I get back to people very promptly. I’m very customer service-oriented.” Her clients appreciate her professionalism, passion and enthusiasm and as a result her repeat and referral rate continues to grow each year. While selling real estate is serious business, Ann Marie knows that at times humor and a moment of levity can be a relief to clients. While she has a laidback and easygoing personality, she can be assertive when needed on her clients’ behalf. She loves being of service to them, and the continually changing nature of the work keeps her engaged and fulfilled. "It’s never boring,” Ann Marie enthuses. "Every day is different. That’s probably what I like most about it. But I also enjoy helping people sell or buy and educating them about the process. I love helping them achieve their goals.” This ethic of service has resulted in well-deserved recognition. Ann Marie has received the Westchester Magazine Five Star Real Estate Agent Rating four years running, in 2015 and 2016 she was the #1 agent in her office, and she’s a Zillow 5-Star Premier Agent. To keep in touch with former clients, Ann Marie sends cards to mark special occasions or reaches out via email. To market her listings, Ann Marie uses Multiple Listing Services (MLS), as well as Listingbook.com, a service that allows both agents and their clients access to MLS data. She also uses a Facebook business page and ads to boost new listings or promote upcoming open houses. "That drives a tremendous amount of traffic,” Ann Marie says. She also uses the most popular real estate websites such as Zillow and Trulia. A strong believer in giving back, Ann Marie sits on the Board of Trustees of her church and is involved in a variety of social justice projects. She’s affiliated with Furniture Sharehouse, a furniture bank for Westchester County, which collects and distributes gently used furniture free of charge to those in need. "I love it on so many levels because as a realtor, it’s helps my sellers downsize through charitable donations. I like the environmental aspect of it as well. And it helps people who truly need things.” She’s also involved in Impact 100, a women’s philanthropic giving organization. In her free time, Ann Marie enjoys gardening, traveling, and spending time with family and friends. For the future, Ann Marie wants to continue expanding her business and developing her brand, and she someday hopes to grow a strong team. But her main goal is to stay in the real estate business, helping her clients to achieve their dreams.