It can happen to homes both young and old: an electrical fizzle that makes sparks fly. Unfortunately, as anyone can tell you, having bad wiring in your home can cause a wide range of problems. Sometimes, it's a fire hazard. Other times, it could potential brownout of larger appliances or a complete shutdown of your home's electrical grid. We've all heard of the disasters that can happen when wires get frayed, and it's not pretty. That's why addressing these problems is so important. The problem most people have, though, is that most electrical repairs are fairly pricey. In fact, it's not unusual for a simple fix to cost several hundred dollars. If it's a matter of rewiring the home, it can cost more than $10,000. Most of us do not have that money on hand. This is why many people want to know...Does homowners insurance cover electrical problems, and if so, when?
Does Homeowners Insurance Cover Electrical Problems?
It all depends on the reason why your home has electrical problems in the first place. In many cases, your insurance policy will be able to cover some forms of electrical problems without too much of an issue. After all, it's not just the walls of your home that the policy will cover. Can homeowners insurance cover electrical problems? Of course. It's considered to be a part of your house and if it's damaged as a result of a peril that is beyond your control, the policy should be able to cover it. However, the nitty-gritty details that go on in relation to your electrical grid get a little bit dicey. That's why it's important to check the policy before you make a call to your insurance agent. It pays to watch out.
When Does My Homeowners Insurance Cover Electrical Problems?
Homeowners insurance is there to help protect your biggest investment: your house. Like most other insurance policies, whether or not something is covered depends on your policy's contract. Most homeowers insurance policies only cover issues that are brought about by a sudden accident---such as an electrician making a mistake on your home's grid, a fire, or an act of vandalism. If your electrical grid is harmed or in disrepair as a result of poor maintenance or has been outdated, it will not be covered. You, as a homeowner, are expected to maintain the wiring in your home. If you don't, then problems are an inevitable byproduct of your neglect. Moreover, certain perils are excluded from standard policies and need to have a waiver or rider for coverage.
How Do I Cover My Electrical Wiring via My Policy?
If you are still in the market for a new homeowners insurance plan, then you are going to need to be aware of what underwriters look for when they determine the cost of coverage. Older electrical wiring setups, such as aluminum wring, are more prone to malfunctioning and fires. Many companies also won't insure electrical grids that are older than 20 years of age. To make sure that you get covered, keep your electrical grids up to date. Moreover, if your damage is caused by a flood or mold, you may need to pay extra for that coverage. Sometimes, even getting fire insurance is a must. The best way to make sure you're covered is to call up your insurance salesman and discuss your options. After all, an ounce of prevention can yield a pound of cure!