Why Do I Need A Four-Point Inspection?
Insurance companies have become increasingly reluctant to issue Homeowner Insurance Policies on older homes (usually 20 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.
4-Point Inspection Vs. Full Inspection
People often mistake a 4-point inspection for a full home inspection. The two share a common goal of inspecting the current condition of a home, but they do have key differences that you should be aware of before deciding which inspection method is right for your property. Take note of the following differences before moving forward with finding a licensed inspector:
What Does a 4-Point Inspection Cover?
A 4-point inspection covers the major components found in most homes:
- HVAC system: Heating, Ventilation, and Air Conditioning
- Electrical system: Electrical wiring and electrical panels
- Plumbing system: Hot water heater and existing water damage
- Roofing: Roof covering and roof shingles
Having a 4-point inspection performed is generally a quick process since inspectors are only examining the essential systems of the home.
A full-home inspection is also called a buyer’s inspection, or simply a full inspection.
Full inspections are known for being thorough and comprehensive, examining many more aspects of the home than in a typical 4-point inspection.
Insurance Requirements
Insurance companies will often require homeowners with property over 20 years old to get a 4-point inspection in order to receive coverage or renew an existing policy. As homes get older, the likelihood of potential issues increases significantly, and providers want to ensure the real estate they’re liable for won’t cost them a fortune to cover.
Generally, full inspections are performed during the home-buying process to see if the property is in good condition. They’re not usually a requirement but are more seen as due diligence. Before purchasing a home, you’ll want to make sure that all aspects of the home are functioning properly, which can be confirmed with a full inspection. From there, you’ll have a better idea if this should be your next home or not.
