What Do Insurance Companies Look For In A 4 Point Inspection Report?

What Do Insurance Companies Look For In A 4 Point Inspection Report?
When buying a new home, especially one that is older, it’s likely that you will need a 4 point inspection before you can get homeowners insurance. Insurance companies use the results of this inspection to make decisions about your insurance policy, including whether or not they’ll offer coverage.
The outcome of a 4 point inspection could have a big influence on the rates that you pay. So what exactly are insurers looking for when they read that inspection report and what will help you save the most on your insurance policy?

Roofing
Your roof has perhaps the largest impact on the overall structural integrity of your home, and the insurance company will want to know all about it. Specific things that they want to know about are the age of the roof and whether there are any leaks or not.

Roofing does have a limited lifespan, albeit a long one, and an old roof can be a big liability. Although it might be frustrating to be weeks away from closing on a house only to find out that the roofing would need to be replaced, it’s much better than living in unsafe conditions.

Electrical System
Exposed wiring, amateur modifications to the electrical system, and older systems that don’t meet modern requirements are just a few things an insurance company would look for in an inspection report.

Issues with the electrical system lead to an increased risk of fire, and that is a huge liability for insurance companies and will lead to higher rates (or not getting a policy at all). On the other hand, if the electronics in your home are up to date and flawlessly installed then you could see lower insurance rates.

Plumbing
The big issue with plumbing are leaks and water damage. Even if there isn’t a current leak the insurance company will want to know about any signs of damage from prior leaks, as water damage can be a big enough issue by itself.

The overall condition and age of the piping is important and damaged pipes are a red flag even if they aren’t currently leaking. Some insurance companies will want to see more modern piping materials too, as many older homes use galvanized piping and this can cause some serious issues.

Heating And Ventilation
With HVAC systems the insurance company will want to see that you have a full system installed (not simply a window mounted unit) and that it is installed correctly. They will also want to know what the system runs on (electricity or gas are the only acceptable options here) and whether or not the system is suitable for the size of the home.

One final point we want to reinforce. A 4 point inspection is not a full home inspection and should not be used to make the final decision on whether you buy a home or not. For that you need a traditional home inspection, which will be much more thorough. A 4 point inspection is typically used by insurance companies to make decision about homeowners insurance.

At Super Inspection Pros all of our inspectors are fully licensed with years of experience doing fast but thorough 4 point inspections, and we know exactly what the insurance companies want to see. Please, contact us today to learn more about our inspection process or to schedule an inspection for your home.

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