Is Renovation And Extension Work Covered By Public Liability Insurance?

Whether you are a builder or a contractor, especially when doing renovations or extensions, you need be aware of your public liability insurance. People frequently wonder whether their existing insurance suffices or whether they need more coverage. At QuoteRadar, you can compare different policies and have yourself covered during difficult times with right insurance. This article goes into great detail on what is generally covered and the particular hazards related to renovation work.

Does It Automatically Cover Renovation and Extension Work?

Most public liability insurance plans offer general coverage for your business operations, which usually include renovation and extension work. This, however, depends on the specific terms of your policy and how you reported your business events when acquiring the coverage.

Usually, even if your insurer found out you were doing renovation or extension work, these activities would be insured. If, however, your policy was used for other work—such as general upkeep or minor repairs—and renovation or extension work is a new field for you, the insurer could ask you to revise your policy or obtain an extension of your coverage.

Renovation and Extension Work Varies for Several Reasons:

Renovation and extension projects can expose more hazards than either upkeep or minor repairs. This happens for the following reasons:

• Structural alterations are sometimes part of the work, which might raise the risk of damage or accidents.
• You may be working on older buildings, which occasionally contain hidden risks, including asbestos, damaged wiring, or brittle structures.
• Typically, for larger sites with more supplies and equipment, extension work raises the possibility of property damage or injury, such as in Andersonville.
• The work could affect public spaces, shared walls, or neighbors’ properties, hence increasing the probability of conflict or damage claims.

Insurers may impose stricter standards or seek more premiums for policies covering renovation and extension work given the raised hazards. You can find many blog on QuoteRadar about insurances and how to minimize your premiums while selecting a comprehensive policy.

What Actions Should You Take To Guarantee Your Work Is Covered?

1. Review Your Policy Wording:

Examine closely your public liability insurance coverage. Examine carefully the parts detailing the kinds of work covered as well as any exclusions or limitations.

2. Be Honest in Declaring Your Work Type:

Always accurately outline the entire scope of your work when applying for or renewing insurance. Inform your insurer if you intend to undertake renovation or extension work, especially if this activity has not been previously reported. This prevents later denial of claims.

3. Request For Extensions Should One Be Needed:

Ask your insurer if you can include these activities in your existing policy, as it may not cover renovation or extension work. Although this may increase your premium, it guarantees that you are covered.

Think About Project Scope And Value:

Some insurers might want details on your extension or renovation’s scope, worth, and length. Usually, bigger or longer projects carry more risk and call for particular insurance. 

Observe Health and Safety Rules:

Good health and safety practices reduce the number of claims and incidents. Maintaining low premiums depends on keeping a neat worksite, using appropriate barriers, and providing worker training.

When Might Public Liability Insurance Not Cover Renovating and Extension Work?

Your public liability insurance might not cover renovation or extension work in certain circumstances:

• If you neglected to inform your insurance company about this kind of employment.
• If your renovation call for such activities but your policy does not cover high-risk ones such as demolition or working at considerable heights.
• Public liability insurance usually does not cover damage or harm caused by subpar craftsmanship; however, professional indemnity insurance could.
• If the claim relates to damage to your work or property, it falls outside public liability and may call for particular builder’s insurance.

Why Is It Critical To Have Appropriate Cover?

Without adequate insurance cover for renovation or extension work, you risk:

• Facing legal consequences or legal fees that you would have to pay from your budget.

• Losing customers who require proof of insurance before work can begin.
• You run the danger of damaging your company’s reputation if you cannot handle claims satisfactorily.
• If you were found to be irresponsible and uninsured, you would face legal consequences.