Getting a Pool or Hot Tub? Why You Should Contact Your Insurance Company
If you are installing a swimming pool or hot tub in your backyard, did you realize that this could affect your homeowner's insurance rates? Adding something like this increases liability risks; and while you could hide this from your insurance company, this could cause problems if an accident occurs that relates to the pool or hot tub you have. Here are several things to understand about pools, hot tubs, and homeowner's insurance.
Swimming Pools & Hot Tubs Affect Liability
One key type of coverage offered through homeowner's insurance is liability coverage. This coverage is there to protect you against accidents that occur on your property. While swimming pools and hot tubs are fun, recreational types of things for families, they can also present risks.
If someone falls into the pool and gets injured, or if someone drowns in your pool, this person or the person's family could sue you. If you lose the case, you could be required to pay a lot of money for this injury or death. If you have insurance on the pool, your insurance company would cover the cost of the lawsuit and settlement.
You Might Need to Take Additional Steps in the Process
If you place either of these devices in your backyard, your insurance company may require that you put a fence around the item. The purpose of this is to add another layer of safety around the item so that people do not accidentally fall into these items if they wander onto your yard. A fence would stop most people from entering in, and this could save lives. This is why insurance companies typically recommend fences around pools.
When you let your insurance company know that you are getting one of these items, they may recommend increasing the liability coverage on your policy so that it is sufficient if something happens.
A Hot Tub or Pool Can Effect Your Insurance
You are probably wondering how adding a hot tub or pool will affect your insurance rates. The good news is that it probably will not increase your policy by a significant amount. The amount varies, but you can expect to pay around $50 extra per year, or maybe more. This is the average cost of adding a pool or hot tub though.
If you are planning on getting a hot tub, pool, or anything similar, contact your insurance company to make sure you have enough coverage on your policy in case anything happens with this item.
