Insurance companies have become increasingly reluctant to issue Homeowner Insurance Policies on older homes (usually 25 years old or more).
Their common concern is that there may be conditions in an older home that could become a liability to them. For instance; a home with a roof nearing the end of its reliable service life may fail while under the policy and the homeowner may seek reimbursement from their insurance company for damages to the home or its contents. Similar concerns extend to the condition of the HVAC, electrical and plumbing systems in an older home. If these elements are in poor condition, in need of being updated or replaced or were improperly installed, they may fail and cause fire or water damage to a home.
A “Four Point Inspection” focuses only on four main areas of interest in a home:
- HVAC (Heating, Ventilation and Air Conditioning)
- Electrical wiring, panels and grounding
- Plumbing connections and fixtures
The inspection and report describes the condition and age of these elements.
Insurance companies want these forms filled out by qualified individuals such as a licensed Professional Engineer, Architects or Certified Building Contractors.