Confused about your insurance requirements? Don’t be!
As a homeowner, you can choose from a variety of different inspections: a buyer/seller’s inspection, wind-mitigation inspection or even a termite examination.
Four-point inspections are a popular topic in the industry.
Maybe your insurance company requires you to get one. You may have heard this term for the first time from a friend or family member. We’ll answer all your questions in this article. The most important one is: “What exactly is a 4 Point Inspection in Orlando FL?”
What is a 4-Point Inspection?
Four-point inspections look at four major components of the home.
- Electrical System
- The Plumbing
- HVAC System
- Roof/Structural
Insurance companies usually request a four-point inspection for homes older 20 years or more (although this can vary greatly from company to company).
Insurance underwriters can determine three things by looking at the results of an inspection.
- The current condition of your home
- If issuing/renewing a policy increases or decreases the risk,
- If you are eligible for discounts or credits (if applicable).
You’ll be able to understand why insurance companies try to minimize their risks if you are familiar with the way insurance works. Insurance companies use data to determine that the older the home, the higher the likelihood of a claim.
Home inspection vs. 4 Point Inspection
While 4 point home inspections focus on four components of the house, buyer/sellers inspections cover the entire home.
The home inspector will do as much as possible to provide the Buyer with enough information to make a decision.
A full home inspection in a real-estate transaction is ordered by a Buyer, as opposed to a 4-point inspection that is requested by an insurance company.
The insurance company will decide whether or not to renew your policy. They can refuse coverage if a house fails inspection.
How to Pass a Four Point Home Inspection
Four point inspections, like all other inspections, are not graded on a pass/fail system. The goal is to show the insurer the condition of the house so they can make a decision.
Many people will consider it “failing” an inspection if the insurance company decides to not extend coverage for homeowners.
If you’re getting a 4-point inspection to buy a house, there’s not much you can to do pass it. The Seller is responsible for bringing the house to a certain level if the property is still theirs.
If your home is nearing the 20+-year mark, you may want to take the necessary steps to ensure that your insurance company will request a 4-point inspection.
Take care of any major issues within each of the four areas being examined. If, for example, you have water damage or missing shingles from a storm, it’s time to fix them.
It is also a great idea to upgrade older systems and appliances.
Insurance companies are often alerted to the dangers of aluminum wiring and polybutylene pipes.
You can have a home inspector perform a four-point inspection if you are unsure of what upgrades or repairs you need. Your friendly independent agent will be able to help you with this report and advise on which systems should be replaced or repaired– before the insurance company requests it.
You Can Get Help With Your Four Point Inspection
We can help you find a home inspector who is qualified or a provider willing to provide you with a policy.
We are an independent agency and have access to policies and carriers that captive agencies do not. You can get the coverage you require to protect your family.
