Home Renovation Insurance

Home renovation insurance is specialist cover designed to protect your property during building works and renovation projects. But here’s the thing: whilst your renovation project might be progressing, your standard home insurance probably won’t protect you properly if something goes wrong.

That’s where home renovation insurance comes in. Let’s break down everything you need to know about keeping your renovation project covered.

What is home renovation insurance?

Think of renovation insurance as your standard home insurance’s more capable mate – built specifically for the chaos and increased risks that come with major building works and renovations. Unlike regular policies that often leave you high and dry during construction, this specialist cover handles everything from contractor accidents to building materials theft.

The key difference? Regular home insurance assumes your property is in its finished state, whilst renovation insurance embraces the fact that you’ve got scaffolding up, walls half-demolished, and builders walking through your front door daily.

Does home insurance cover renovations?

Your standard home insurance policy might provide some cover for minor home improvements, but it’s not designed for major renovation work. Most home insurance policies have significant exclusions or limitations when it comes to building works, leaving you potentially exposed during your renovation project.

Here’s what typically happens with standard home insurance during renovations:

• Buildings insurance limitations: Many policies exclude damage caused by or during building works, or they significantly reduce cover levels whilst major structural work is taking place
• Contents insurance gaps: Your belongings might not be covered if they’re damaged during renovation work, especially if contractors are involved
• Liability exclusions: Standard policies often don’t cover you for damage to neighbouring properties caused by your renovation project
• Policy cancellation risks: Some insurers will cancel your home insurance policy if you undertake major works without telling them

The bottom line? For anything beyond basic redecorating, your standard home insurance policy probably won’t give you the peace of mind you need during renovation work.

What does home renovation insurance cover?

Renovation insurance provides cover from the start of your home renovation until it’s finished. Your cover depends on the type of policy you choose, but here’s what’s typically included:

Buildings insurance during renovation

This protects the physical structure of your property and any building work in progress:

• Existing structure protection: Your current property structure, even when partially dismantled during works
• Work in progress: New building work as it’s completed, from foundations to roof
• Structural changes: Extensions, loft conversions, and major alterations
• Accidental damage: Protection against unexpected mishaps during the renovation work
• Temporary works: Scaffolding, site huts, and other temporary structures

Contents insurance for renovations

Your belongings need protection too, especially when there’s dust, debris, and contractors about:

• Personal possessions: Furniture and belongings, whether you’re living in the property during works or items are in storage
• Fire and flooding protection: Coverage for your contents against these common risks during building works
• Building materials: Timber, bricks, fixtures, and fittings before they’re installed
• Tools and equipment: Contractor’s equipment and your own tools used in the project
• Temporary accommodation contents: If you need to move out during works

Public liability insurance

• Third party damage: If your renovation project causes damage to neighbouring properties
• Injury claims: Protection if someone gets hurt on your property during the works
• Legal expenses: Cover for legal costs if you need to defend against liability claims or disputes

Alternative accommodation

• Temporary housing: Hotel or rental costs if your home becomes uninhabitable during the renovation project
• Additional living expenses: Extra costs for eating out, storage, and other necessities whilst displaced

Unoccupied property cover

• Extended absence protection: If you can’t stay in your home for more than 30 days during works, specialist unoccupied property insurance ensures you maintain adequate cover

With many UK homes being underinsured, it’s crucial to ensure your renovation project is properly covered, especially when building works increase your property’s value.

What isn’t covered by home renovation insurance?

Even comprehensive renovation insurance cover has its limits. Here’s what’s typically not covered:

• Pre-existing defects: Problems that existed before your renovation work began, as renovation insurance only responds to new damage during the project period
• Poor workmanship: Damage caused directly by substandard work (though consequential damage might be covered), which is why choosing qualified contractors matters
• Gradual deterioration: Normal wear and tear or long-term decay isn’t covered, as renovation insurance protects against specific incidents
• Unoccupied property risks: Some policies exclude certain cover if your property is empty for extended periods without proper security measures
• Planning permission issues: Problems arising from works carried out without proper consent or building regulations approval
• Design defects: Flaws in your renovation plan or architectural design that cause problems down the line

What to check before you start renovations

Always check your policy documents and speak to your insurer before starting work. You should verify:

• Policy limits and cover levels: What is and isn’t covered, plus the sum insured for expensive renovation projects or valuable building materials
• Public liability insurance levels: Check the liability cover amount (typically £2-6 million) and whether it covers damage to neighbouring properties
• Alternative accommodation limits: Ensure the cover for temporary housing is adequate for your area’s rental costs and displacement duration
• Contractor requirements: Whether your policy requires contractors to have specific qualifications, insurance levels, or professional memberships
• Building materials cover: Whether materials are covered from delivery to installation, and limits for high-value items

Top tip: Take photos of your property before work begins and keep detailed records of your renovation plan. This makes claiming much easier if something goes wrong.

When do you need renovation insurance?

Not every home improvement project requires specialist renovation insurance. Here’s when you’ll typically need it:

Major renovation projects

• Structural work: Removing or adding walls, extending your property, or significant alterations to the existing structure
• Loft conversions: Converting unused loft space into habitable rooms requires specialist cover due to the structural changes involved
• Listed building work: Heritage properties need specialist renovation insurance due to unique materials and conservation requirements
• Complete refurbishments: Gutting and rebuilding the interior of your property

High-value renovation work

• Expensive materials: When your renovation project involves costly building materials or high-end finishes that exceed standard policy limits
• Professional contractors: Projects using multiple trades or construction companies bring increased activity and potential risks
• Extended timescales: Renovation work lasting several months where standard home insurance exclusions would leave you vulnerable

For smaller jobs like redecorating or fitting a new kitchen without structural changes, your standard home insurance policy might provide adequate cover – but always double-check your policy wording to be sure.

Types of renovation insurance policies

There are several types of renovation insurance to consider depending on your specific renovation project:

Self-build and new build insurance

For constructing new builds from the ground up or complete reconstructions. This type covers the construction process from foundations through to completion.

Renovation and restoration insurance

For refurbishing existing structures whilst maintaining their character. Popular for period properties and conservation work.

Conversion insurance

Specifically for projects like barn conversions, commercial-to-residential conversions, or creating separate flats from a single property.

Unoccupied property insurance

If you’re renovating a property that’s empty during the works, you’ll need specialist unoccupied house insurance to address the increased risks that come with uninhabitable properties.

Each type offers different levels of protection tailored to specific project needs and risk profiles.

What can invalidate my renovation insurance?

Your renovation insurance cover is designed to be robust, but there are some things that can trip you up. Here’s what might leave you without cover when you need it most:

• Starting work before cover begins or continuing beyond your policy end date without extensions
• Using unqualified contractors when your policy requires specific trade qualifications or professional registrations
• Making major changes to your renovation plan without informing your insurance provider of modifications
• Failing to secure the property by leaving building materials, tools, or access points unsecured overnight
• Not maintaining adequate security at unoccupied properties during renovation work
• Exceeding agreed project values without notifying your insurer of increased costs or scope
• Working without proper permissions like planning consent or building regulations approval
• Poor site management that creates unnecessary risks or hazards

The key is being upfront with your insurance company and following the terms of your renovation insurance policy. Most requirements are just good practice for any building project.

Bottom line

Home renovation insurance fills the crucial gaps left by standard home insurance policies during building works. Don’t assume your regular policy will cover major renovation projects – get specialist quotes early in your planning process to ensure you’re properly protected from day one.

Whether you’re planning structural changes or a complete refurbishment, having the right renovation insurance means you can focus on your project without worrying about the financial risks.

Home renovation insurance FAQs