Homeowners Insurance during a renovation/addition?

[Piper2022]

Hello,

I am in a predicament regarding our homeowners insurance on our old farmhouse. A little back story, I am a carpenter and we bought a older farmhouse in New Hampshire 10 months ago and trying to figure out home owners insurance for it. We had a policy that was typical standard coverage, however our carrier just terminated the insurance due to us not informing them of a renovation we are working on. The home is 2200 square feet and we tore off the old kitchen wing that was roughly 300 square feet where we are rebuilding it at roughly 1000 square feet. We moved the kitchen into the mud room and sealed it off with foam board, plywood, etc. The home is fully functional with the kitchen wing gone. Hell our neighbors said our temporary kitchen layout is better than the old kitchen wings layout, lol. Also, the rest of the home, about 1900 square feet is not being touched. We are not living in a gutted house, lol.

Supposedly the previous carrier stopped by the house on 3/7/22 and was not happy with not being informed of the work and gave us 90 days to complete the work. They supposedly mailed these notices to our previous address, however we know the folks at the previous address and they did not see this mail. Fast forward to today and our policy was canceled and the only way I found out was a cancellation email today from the local insurance salesperson.

I have made many phone calls and have called around and have not found any carriers that will insure a home under renovation. Currently the foundation is complete and the floor has been framed. I am completing much of the work myself and will be taking 2 month off of work to focus entirely on the addition. Most carriers just tell me they will not insure a home that has any major renovations going on. Others tell me they will insure an existing home under construction but it cannot be the homeowner completing any of the work and it must be licensed and bonded contractor. Carpenters, GC’s are not licensed in NH, and they sure the hell are not bonded.

Can anyone shed some light on what my options are to insure our primary residence while we work on it?

Thanks!

 

[ponytug]

Sorry to hear of your troubles.

Lloyd's of London?
Contact Us - Lloyd's
They insure pretty much everything, for a price. They stepped in for us once when we had a situation that we couldn't otherwise get coverage for.

Have you searched around for "dwelling under construction" insurance?

I would consider backing up and try a local independent agent and see what they can dig up.

All the best,

Peter

 

[Will S]

Cousin bought a house in N.C., which they then hired a GC to do many renovations. No one was living in the house during the 10 month reno. Their homeowners insurance at their existing (and living in) home, was Allstate, so they got a price from Allstate for the new place.

Allstate insured it, but charged a higher premium, since the house was not occupied.

Seems to me that your ins company is jerking you around. Don't know why they would do this, especially since it is really only a partial reno, and it is still your primary.

Good friend who lives just down the road from me, is having a MAJOR renovation of almost everything, AND a huge addition for master suite; load bearing walls being moved or removed, and all new roof over the entire existing structure, plus the attached addition. They're living in it most of the time, but some weeks they stay in their other home in a neighboring state. Most of their household furnishings are store in PODS on the property being renovated. There has been no problems with their homeowner's ins company providing on-going coverage.

 

[jaxs]

Cousin bought a house in N.C., which they then hired a GC to do many renovations. No one was living in the house during the 10 month reno. Their homeowners insurance at their existing (and living in) home, was Allstate, so they got a price from Allstate for the new place.

Allstate insured it, but charged a higher premium, since the house was not occupied.

Seems to me that your ins company is jerking you around. Don't know why they would do this, especially since it is really only a partial reno, and it is still your primary.

Good friend who lives just down the road from me, is having a MAJOR renovation of almost everything, AND a huge addition for master suite; load bearing walls being moved or removed, and all new roof over the entire existing structure, plus the attached addition. They're living in it most of the time, but some weeks they stay in their other home in a neighboring state. Most of their household furnishings are store in PODS on the property being renovated. There has been no problems with their homeowner's ins company providing on-going coverage.

I don't sell Allstate nor have stock in the company but my experience with them has been much the same as yours (thanks in part to my agent who has always been there when I had questions). As for higher premium on a secound home,that's pretty standard across the board. I second everything you said and advised.