Insurance is another overlooked challenge. Homeowners often assume their standard policy covers renovations, but in Canada, USA, UK, and New Zealand, additional coverage is usually required.
During renovations, risks increase. Fires, theft of materials, accidents on site, and structural damage are all possibilities. Insurers require homeowners to disclose renovation plans, and failure to do so can void coverage. Special renovation policies or rider add ons are often necessary, adding cost to the project.
In Canada and the USA, large scale renovations may even require builders risk insurance, which covers the property during construction. The UK has similar requirements, particularly for heritage properties where repair costs are high. In New Zealand, earthquake resilience and weather risks further complicate insurance needs.
The challenge is both financial and administrative. Premiums rise during renovation, and paperwork can delay project start dates. Some homeowners risk proceeding without proper coverage, which exposes them to significant losses if accidents occur.
Conclusion: Rising insurance costs during renovation are a challenge that homeowners cannot ignore. Across Canada, USA, UK, and New Zealand, securing the right coverage is essential for protecting investments and ensuring peace of mind.