Many insurance companies are opting out of homeowners insurance because of the increase in claims and the remaining few companies require either a full roof or 4 point inspection to be carried out to protect their liability prior to writing the policy.

Insurance companies have three main options to follow before agreeing coverage.

1. Agree application without an inspection assuming all risk
2. Request the owner has a roof inspection
3. Request the owner has a 4 point inspection

The main priority for the insurance industry is to ensure the subject property has no pre existing defects that could become a liability after a policy is written. The roof inspection and The 4 point inspection are the two preferred methods the insurance industry can use to control their liability and risk. In many cases the electrical system can be the most concerning with insurance because of the risk of fire associated to inadequate or defective installations. Many fire investigators discover that the cause of an electrical fire is associated to, or as a direct result of an unqualified electrical installation or adaptation.

The 4 point inspection is a detailed assessment of the electrical, plumbing, air conditioning and the roof. The inspection is designed to identify the existing condition and assess the remaining life expectancy of the materials. All the main electrical outlets are inspected including the service panel and circuit breakers. Tests are carried out to identify if the system is overloaded from the original design.

Electrical
Checks made on the age, installation, general condition, service loading, recent adaptions and life expectancy
Plumbing
Checks made on the age, installation, general condition, all connected appliances, leakages and life expectancy
Roof
Checks made on the age, installation, general condition, type of materials used , overhead obstructions, signs of damage, signs of vermin entry
Air Conditioning
Checks made on the age, installation, general condition, running temperatures, ventilator balancing, future service requirements and life expectancy

If you are an insurance agent, before you agree your next policy consider this, has the property ever been subject to any storms, hurricanes or UN licensed home owner adaptations? If you cannot answer this, then you are assuming the liability and risk. My 4 point inspections could save you or your insurance company thousands of dollars.

If you are a home owner and looking to renew or buy new home owners insurance you can save yourself a lot of time and money by having your 4 point inspection ready when you apply. Many home owners are not aware of their policy expiration dates until it is right upon them. This leaves very little time to arrange for renewals, if the insurance company then requests an inspection and you cannot get it completed in time your insurance policy may lapse and you will not be eligible for renewal discounts.