What’s in a four point?

Have you ever wondered “what’s the big deal about a 4-point insurance inspection and why do I need one”? Well the answer is simple. It is estimated that 500,000 homeowners every year are not cashing in on the insurance discounts they deserve. Most insurance companies want peace of mind, especially on an older home, that every precaution has been taken to mitigate costly claims for safety, fire, and water damage and a 4-point is a simple cost-effective tool in the war on unnecessary claims.

What does a 4-point cover?

A four point takes an up-close look at four key areas that could become critical over time. They include: Roofing, plumbing including the water heater and well components if applicable, electrical, and the HVAC system. A good inspector will look at any pertinent permits available to him/her, determine the age if possible, and examine the condition at time of inspection. He or she will then fill out the appropriate insurance form often provided by the insurance company and submit it to them with their findings.

What do I do if there are insufficiencies noted on the inspection report?

Since the home cannot be insured without a satisfactory report, the insurance company will require all repairs to be made and a second inspection will be needed to show that the home now is satisfactory in all four areas.

What happens if something goes wrong after insurance is granted?

You should always keep in mind that the inspector can only report on what is observed and revealed at the time of inspection and is in no way a home warranty. It was performed expressly for the insurance company and not for the homeowner. If a repair comes up, the insurance company will then handle each claim individually to see if it is eligible for coverage. You should rest easy once your 4-point has been accepted by the insurance company.