Majority leave themselves underinsured after renovation: survey

According to a new survey undertaken by Galaxy Research on behalf of Woolworths Insurance, 82% of renovators may be underinsured.

The survey, which looked at 80% of respondents who noted they had renovated, saw 24% spend more than $50,000 on their home improvement.

Of those who renovated, just 18% had a valuer estimate the new worth of the home, potentially leaving the property owners exposed to underinsurance.

Chris Cramond, head of Woolworths Insurance, said that those who renovate need to recalculate their insurance so the new renovations are covered to the correct value.

“If homeowners are unsure how much value a renovation has added to their home, it’s worth getting advice from a qualified valuer who can provide a more accurate assessment of their property. It is also important to add any new valuables to your contents insurance policy so you aren’t left out of pocket in the event of theft, vandalism or damage due to natural causes such as a lightening or storm or burst pipes,” said Cramond.