What to Think about when Buying a House

Do you need High Value Home Insurance?
April 6, 2015
Do I have Sewer Back Up coverage (or enough of it) on my policy?
September 6, 2015

What to Think about when Buying a House

Insurance may not come to mind when you start thinking about buying a house. Here are some things that you should be aware of, from an insurance point of view:



The construction details of you new home are used to calculate the replacement cost, or cost to build it should it be destroyed.  Things like style, square footage, types of flooring finishes and features are all considered.


Insurance companies look at whether or not the home has been upgraded.  Four key upgrades are the roof, heating, electrical and plumbing.  Most carriers now look for a minimum 100 amp breaker electrical service and copper or plastic plumbing.  As well, the roof should be no older than 20 years of age and the heating in good condition.


The distance of the nearest fire station has an impact on your homeowner’s insurance rates. The further away the nearest fire station is located, the higher the rate. If you ever had a fire, every second counts. With no fire department nearby, the risk for a major or total loss of your home is much higher. And insurance companies charge for higher risk.


Are there are any special risks?  If you have a pool, for example, located on your property and somebody – invited or not – gets injured while using it, you will be held responsible for the damages. If the insurance company is to cover this exposure, they should know about it.


A house near the water may be a dream come true for many, but if that dream home is in an area prone to sewer back up, you may want to add separate coverage for sewer back up on to your homeowner’s insurance policy.


If you wish to learn more, please call us at Pembina Insurance Services 204-452-4913 or email us at info@pembinainsurance.com .