14 Situations When You Need to Contact Your Insurance Partner
![Notify your insurance partner of these changes](https://citybuildingowners.com/wp-content/uploads/2019/03/When-to-Contact-Insurance-Partner.jpg)
When should you contact your insurance agent/broker or insurance company? Of course, you need to contact them to file a claim or when an event may lead to a claim. There are also many times that you might not think to contact your insurance partner, but you should.
Financial and legal changes
To ensure you have the right protection, alert your insurance partner to any changes in your financial or legal situation.
Sale of your mortgage
Typically, you’ll receive a letter from your bank/lender that your mortgage has been sold to another lender. If your insurance company isn’t informed, you might receive a threatening-sounding letter from the new mortgage holder that it intends to purchase expensive insurance (that you’ll pay for) to protect its investment. Play it safe, and notify your insurance partner.
Mortgage refinance
While your insurance company typically provides proof of coverage at this time, things sometimes slip through the cracks.
Mortgage pay-off
This is especially critical if your insurance is paid out of escrow, which is generally the case, rather than billed directly to you. You don’t want your insurance to lapse because you didn’t pay a bill you never received (because no one knew to send it to you).
Other mortgage and/or deed changes
If someone on the deed or mortgage changes his/her name because of marriage, divorce or some other reason, notify the insurance company. Transferring ownership of the property to a trust also warrants a call.
Family/Life changes
Major life changes, such as the death of a spouse or the addition of a child or dog, also warrant a call to your insurance partner. Other examples: Parents die and leave a home to their children (or other heirs), or a second cousin moves in and starts paying rent.
Legal summons
If you receive a summons, contact your insurance provider for assistance. Many liability policies help pay legal defense fees for claims that fall within the policy’s coverage—for instance, if someone slips on the sidewalk outside your house or your dog bites a delivery person.
Changes and activities in your home
Your insurance provider also needs to know about certain types of changes to your home and your lifestyle.
Renovations or expansions
Anything that changes the value of your home or the cost to repair or rebuild it is important information for your insurer. If you make major changes without updating your policy and then have some or all of your home damaged, you may not be fully covered. And you definitely want to inform your insurer if you add a pool or trampoline.
Watercraft/RV purchases
Call your insurance agent or broker if you buy a boat or motorhome. These types of purchases present potential liability risks and increase your loss exposure (e.g., damage, theft, uninsured or underinsured boaters). Some marinas or lenders require insurance for watercraft, and some states require liability insurance for standalone RVs.
Starting a home-based business
Whether you’re going full-time or launching a side hustle, even if no clients will ever visit your home, your insurance partner needs to know. At the very least, you want to make sure that your business equipment and records are protected. Some homeowners’ policies may have limited built-in coverage for home-based businesses, but double-check.
Hosting a big event
You don’t have to tell your insurer every time you have people over. But if you’re planning a big event—such as a political fundraiser, an in-home concert, or even a large family reunion or wedding—your insurance partner should be notified before the event.
Extended absence/occupancy changes
If you’re a snowbird who spends the winter in Florida or you’re planning a long trip, talk to your insurance partner. Many policies will only cover an unoccupied building for a limited time. Let your insurance agent or broker know if your primary residence will become a seasonal/secondary home or vice versa.
Property rental
Planning to rent out a mother-in-law apartment or the second unit of a two-family brownstone? Contact your insurance company. These changes—unless you’re renting to an immediate family member—will probably require some form of landlord insurance.
Injured guest
You don’t have to report minor injuries, but any injury serious enough to require medical care is something you should communicate. Homeowners’ policies generally include coverage specifically for these types of occurrences.
To avoid issues with potential claims or liability, contact your insurance partner in a timely manner if any of the above events occur. Please note that this list is by no means exhaustive. When in doubt, let your insurance company know.
If you have any questions about when to contact your insurance company or broker or would like a free insurance review, please call us at 877-576-5200.