Home Owners Insurance Can be Cancelled Due to Cracks – Take Action Now!

It does not take a genius to determine property insurance risk management in Florida is in a state of relative crisis.  Insurers are still reeling from the damages in the 2004 storm season.  Some new providers have come into the area but like health insurance, the rules for insuring your property are far from clear.

On a recent exterior painting estimate, I discovered a new twist.  Insurance companies are becoming more diligent with conducting onsite reviews of both new and existing policy holders.  The obvious items checked are diving boards and slides on pools, sinkholes and trampolines in the yard.  Seems these will get you denied or eliminate your renewal for many insurers.

The next comment may shock you.  Insurers apparently can deny coverage for lack of coating/paint and most certainly for visible cracks.  The homeowner above had their policy cancelled and renewal was denied due to these issues.  Yes, their house is overdue for paint and they have some settling and stucco cracks.  Bad news?   Their house is far from the worst we have seen.

I would estimate that at least 70% of the homes in Central Florida are overdue for painting.  And … virtually all masonry/stucco body homes we see have visible cracks in the stucco.  Insurers are not willing to take the risk for water intrusion through the exterior of the home.  If they cite your home during an annual onsite review, some may give you the opportunity to correct the issue.  Others will just cancel your policy.  Failure to prep, patch and paint the exterior, once noted, will likely be considered negligence and any damage post inspection will not be covered.

Water finds a home!  Don’t let it be your home.  Water intrusion can cause obvious damage.  It’s expensive to replace drywall, flooring and even furniture.  Worst yet… prolonged exposure creates mold.  Mold remediation requires a specialist and they are very expensive.  Live in a pre-1978 home?  Add even more costs requiring an EPA Lead Certified Renovator to conduct the repairs.

Bottom line?  Properly prep, seal and paint your home.  DIY patches on the cracks may not help you at all.  Most homeowners do not complete the process correctly.  The insurance inspector may fail your work and drop you if the work is not completed correctly.  Spend a few thousand now or pay many thousands later.  Your choice? 

PS – I would bet good money on the mortgage companies looking at this issue soon.  They have to protect their risk as well. 

Paint Prices Up Now, Homeowners Taking Own Action, Community Reserves Need Review, & Quality Painters in Demand

Last month’s blog post suggested a price increase coming for painting your home or business. Well, the price of paint is going up. Price increases just announced this week by several major companies are in the 5-15% range and staged with comments about more increases later this fall. ProTect Painters has national contracts and in most cases our clients will not see these increases until early next year. Get your home or business painted now to lock in the old prices.

HOA’s and Community Managers tell us they are sending “paint and fix your home now” notices to homeowners in record numbers. Many had put this activity on the back burner due to the economy. They are being forced to react by homeowners who are suing their neighbors directly and enjoining the HOA into the suit for failure to take action. Don’t take the risk and bear the expense of this process. It is cheaper to address these issues without litigation.

Communities with reserves for painting exteriors and common areas have put off these projects long enough and are requesting bids. Further deterioration of the property only adds to the cost and renovation. They need to act quickly to avoid sticker shock for material increases which were not contemplated and the expenses associated with any delays in the repaint cycle. It is highly unlikely these costs were included in their reserve studies. Assessments for painting which should have been included in owner’s reserves payments are never a great option.

Painting activity in the Central Florida area has exploded over the last 30 days with scheduling extending out and quality painting crews beginning to see demand rise. Pricing for labor is highly contingent on supply and demand. The price of high quality labor will rise with this tide and rise quickly. Act now before the best painters get picky about which contracts they take.

ProTect Painters of Oviedo ~ Winter Springs is available for consultation on home, business and community painting projects and issues.  Give me a call today at 407-542-6031 and let me know what we can do the help.  ProTect Painters, is our name.  Quality That Lasts, is our claim.