Updating your castle, time to update your policy

08 April 2014

New research from SGIC shows that over one in three (36 per cent) SA households made renovations to their home in the last year and 70 per cent didn’t update their home insurance policy when the job was completed*.

The results from a survey of 114 SA home owners who renovated last year were concerning, with the insurer calling for home owners to update their policy after a renovation is done.

SGIC spokesperson Tracy Woodley, said with TV home renovation shows inspiring homeowners to get off the couch and pick up a hammer, the insurer’s reminding customers to re-evaluate their home insurance policy when it’s tools down.

“With the cost of home renovations amounting to thousands of dollars and the effort that goes into planning and executing the renovations, it’s important that homeowners take the final step and ensure their castle is protected,” said Ms Woodley.

The survey revealed the top places for renovations around the home:

  • Outdoor (43 per cent)
  • Bathroom (25 per cent)
  • Kitchen (24 per cent)
  • Lounge room (24 per cent)
  • Bedroom (18 per cent)

“The survey showed that many home owners are potentially so wrapped up in the renovations and enjoying the changes to their home that they’re forgetting to ensure it’s adequately protected.

“If you decide to invest in renovations, we urge all home owners to re-evaluate their home insurance. You may have increased the rebuild cost of your home or bought new contents to freshen up the space and need to adjust your insurance policy,” said Ms Woodley.

SGIC recommends the following home renovation tips:

  • Before getting started, plan and cost out the renovations you want to make;
  • When in doubt, obtain professional advice and qualified tradespeople; and
  • When you have completed the renovations, check that your home buildings and contents insurance are up-to-date - our online contents calculator can help.

* Based on a survey of 114 SA home owners who made renovations to their home by Pure Profile Research in January 2014.

This is general advice only so to see if this product is right for you, consider your own circumstances and the Product Disclosure Statement from the productissuer, SGIC.

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