Is That House Insurable

April 15, 2014 104 Comments

Most insurance companies will usually require a 4 Point Inspection for homes over 20 years old.

While some companies may allow a home to be 30 or even 50 years old, others may require a 4 Point Inspection on a home that’s only a few years old, especially if it was a bank foreclosure &/or if it has been vacant for a while.

All of the following should be in good shape & proper working order:

  1. Roof
  2. Electrical
  3. Plumbing
  4. Air Conditioning

Below are a just few brief examples of issues that could make the home “un-insurable.”

Roof

  • Leaks
  • Heavily worn, damaged, or missing roof covering
  • Roof deck has wood rot
  • Sag between trusses / rafters
  • 3+ layers of roof covering
  • Less than 3 years of remaining useful life

Electrical

  • Main Panel is not grounded
  • Electrical panels or breakers manufactured by Federal Pacific Electrical or Zinsco
  • Outlets not working or not properly wired (no ground, neutral reversed, etc.)
  • Outlets missing cover plates or exterior outlets missing weather covers
  • < 100 Service amps
  • Knob & tube or aluminum branch circuit wiring
  • Exposed wires (INCLUDING ceiling light / fan fixtures)
  • Smoke detectors missing or don’t work properly

Plumbing

  • Leaks
  • No TPR valve on water heater
  • Polybutylene (Poly B) pipes
  • Main shut off valve to house is missing or does not work
  • Shut off valves (under counters / behind toilets) are stuck or don’t work
  • Heavy corrosion on water supply lines &/or to/from water heater
  • Poor water pressure &/or slow draining sinks, tubs, showers

Air Conditioning

  • Does not heat / cool properly
  • Drain pan is full of water
  • Portable units (as primary)
  • Dirty or corroded coils
  • Condensation / poorly insulated unit &/or return lines
  • No evidence of recent service or maintenance

104 thoughts on “Is That House Insurable”

  2. I came to your Is That House Insurable – this helps. I will be sure to call you for a 4 Point Insurance Inspection once I make a few repairs

  5. I didn’t realize! Makes sense that a house with major issues might not be insurable, but this post made me aware of several minor issues that I didn’t realize could make my home “un-insurable.”

  6. I never realized that this stuff was a concern, but I guess it makes sense.
    Learn something new every day!

  8. OOPS – looks like a few minor repairs are needed before i order a 4 Point Inspection for new insurance.
    Glad i saw this post first!

  9. I came across your Is That House Insurable – very informative.
    Thanks for sharing this information. Everyone should know this stuff.

  10. I never realized. Thanks for posting this! Great info here that I will be sure to pass along.

  12. I have not checked in here for a while because I thought it was getting boring, but the last few posts are great quality so I guess I will add you back to my everyday bloglist. You deserve it my friend 🙂

  13. I came across your post “Is That House Insurable” & hadn’t realized some of the things that I need to get fixed before renewing my policy since I plan to switch. thanks 🙂

  14. I rank your website a 10.
    I saw a post here a while back and loved it.
    Checked back recently & looked around a little more and love it even more!
    Todd’s Tips are wonderful
    bookmarking your site – thanks for all the great info!!!
    😀

  16. Just recently started shopping for new insurance. Never realized. Thanks for making this easy to understand!

  19. Youre so cool! I have read several of your tips & they are all so helpful — Thanks!

  26. Thanks for all your work on this web page. My mom loves Todd’s Tips & checks in regularly for new info.
    She shared this one with me & it helped a lot – Thanks

  27. Digesting the pointers found on your web blog and then suddenly I got a terrible suspicion I had not expressed respect to the blog owner for them.
    THANKS TO YOU! This was very helpful

  28. I’m going to bookmark your web site and hold checking for brand new information. GOOD STUFF – Thanks

  29. Needed to post you that very small remark to be able to say thanks again for your post.

  30. Well, I was upset to learn that my house is “uninsurable,” but rather now than after a home inspector charged me to tell me so.
    Thanks for sharing. i will make a few repairs & call you when I am ready. 😀

  31. I would like to express my appreciation to the writer for this post – saved me a ton of time by allowing me to make a few needed repairs before ordering an inspection that surely would have failed & therefore done me no good.

  33. I am commenting to let you understand of the fabulous experience I had with your site. Very easy to grasp, extremely tough — hat’s off to you

  36. I simply wished to thank you so much again. I sure hope you are aware of a great job you’re doing educating some other people through this site.

  40. I wish I had read this article a long time ago, would’ve saved me so much time!

  41. Thank you for writing this, you’re explanations have made a huge impact on my decisions!

  42. I am an insurance agent, it is very difficult to make sure that all of these things have been repaired properly, but it does help in situations where you need to place a claim!

  43. My husband and I recently placed an offer on a house that we really love, but there is so much work that we have to do, and I am worried that we won’t be able to fix the things in time. Thank you for making your article easy to understand, you have helped us a lot!

  46. Thank you so much for sharing your intelligence! You have helped me and my family so much!

  48. I didn’t realize how important some of this stuff was, thanks for sharing this with everyone!

  50. I actually wanted to develop a small message to thank you for all of the fantastic tactics you are posting at this website.

  51. Thank you so much for giving everyone an exceptionally brilliant chance to check tips from this web site.

  52. This post is helpful, I’m buying an old house from my uncle and I will be sure that the right repairs are finished before we call to make time for our inspection

  57. Never realized all the things that an insurance company needs to check before insuring properties… wow!

  59. This post was very helpful to my son, he will make repairs and call you to set up an inspection soon! Thank you!

  61. Looks like I should get a few more repairs, before I am able to schedule this inspection! Thank you so much!

  63. I just wanted to say THANKS – this site & particularly this post was very helpful to my husband & I.

  64. Great post – I see now that I too need to make a few repairs before ordering this inspection.

    *** My favorite thing about this site is the ability to read other people’s comments without stupid stuff that is completely off topic like people trying to sell shoes, jewelry, links to payday loan sites, music download sites, etc.

  66. VERY IMPORTANT!!! DO NOT PAY $300
    I am getting new insurance for a home I already own. I was told that the insurance company would be sending someone. When I got a call from their inspector to schedule the inspection, I asked what he would charge me. He said that it was paid for by the insurance company. I’m quite sure that most people stop right there, but I dug a little deeper. I said, “Oh, OK, that’s great, but can i ask what they pay you?” He explained that the insurance company pays him $250, but they add $300 to the annual insurance premiums to cover their “Admin Fee,” for notifying him to contact me.
    I called Sherlock Home Inspections who only charged $125

  68. Why do no other Home Inspectors educate us laypeople like you do?
    Such a great site – especially Todd’s Tips

  69. Sherlock saved me several hundred dollars !
    Sherlock Home Inspections found several issues that needed to be repaired before the house I was buying would pass a 4 point inspection.
    They told me + included them on my Home inspection Report, but did not charge me for a 4 point inspection (since it would have failed).
    In negotiations with the seller, he initially refused to make the repairs, but Todd at Sherlock Home Inspections explained to the seller & Listing Agent that I could not get insurance without the repairs & if i backed out of the deal, any other buyer would have the same issue. Eventually the seller agreed to make repairs. Sherlock Home Inspections came back out to complete the 4 Point Inspection (after repairs were supposed to have been completed). They found a few places where the seller had merely tried to solve the issue with a temporary “band aid” repair. Eventually repairs were completed properly & we closed. All is good 🙂

  71. I never realized that I’d have to worry about this, but I’m renewing with my current insurer and my house just reached 20 years old & they are requiring a 4-Point Inspection. Thanks for explaining what all that inspection entails & what things i can look for on my own around the house to make sure it passes. This is good, solid, IMPORTANT information for home owners.

  72. So nice of you to share this so that people can at least attempt to make sure their house will pass before they hire you.
    😀

  73. Thanks for directing me here rather than taking my money. I’ll make a few repairs and call you back to schedule that 4 point Insurance inspection.

  75. I wanted to thank you so much for the magnificent information you’ve provided in this post

  78. Some other inspector charged me for an inspection, but the report showed that one of my smoke detectors needed mew batteries. I replaced the batteries, but the insurance company said that I had to get the report amended. That inspector wanted to charge me full price to come back out and re-inspect. Just for new batteries. What a crock!

  79. very informative & helpful to me … I’m sure others will benefit as well. keep up the great work!

  83. OOPS … I guess i need to fix a few things before i renew my home owners insurance.

  86. The big things are obvious, but I’ll bet most folks are unaware of some of the little things that could keep them from getting hoe owners insurance

  87. My brother hired a Home Inspector who charged him for the regular home inspection + a 4 Point that failed, and a Wind Midigation that saved him $0 on his home owner’s insurance.
    I won’t make that mistake. I will be calling Sherlock Home Inspections as soon as i find a place

  92. Is That House Insurable? Mine needs a little work first, thanks for educating me.

  96. Unquestionably important for buyers and those renewing home owners insurance. Thanks

  97. Hеllo! I was completely confused.
    Now I get it.
    Thanks for all your help!
    I will be contacting you once i make a few minor repairs & I’m ready for a 4 Point Insurance Inspection.

  98. Insurance Agent said to get a 4 Point.
    Todd spoke with me briefly, then sent me here.
    I’ll be calling him after a few repairs.
    SO NICE of Todd
    Looking out for me, rather than just taking my money
    Thanks 😀

  100. Never realized … this is a must read for anyone with a house in FL close to (or over) 20 years old!

  101. Just ran into this because my house recently became 20 years old.
    I hired the guy my insurance company recommended. He nit picked the heck out of the house, & charged me $99.
    But then once I completed the repairs, he charged me $150 to re-inspect.

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