A 4-point inspection is typically done on an older home ahead of homeowners insurance renewal. It is also done if you are in the process of purchasing an older home. A 4-point inspection is requested as part of the underwriting process. It is a common practice in many coastal states.
What Is Covered?
There is a basic outline of what is covered under a 4-point inspection, but each insurance agency will have its own set of guidelines regarding who needs this service. You can find a universal 4-point inspection form on the website of the National Association of Certified Home Inspections (NACHI).
The 4-point inspection is what insurance underwriters and insurance companies use to determine risk. It focused on four main things: electrical wiring, the plumbing, the roof and structure, and the HVAC system.
- Electrical Wiring: The inspector will see if the wiring comprises copper, aluminum, or knob and tube wires. They will also try to determine the fire hazard risk. A faulty wire is the cause of approximately 28,000 residential fires annually and over $700 million in property damage.
- HVAC System: If the home has central heating and air, then this system will also be checked. The professional will determine the current condition of the HVAC system and look for signs of damage, including leaks.
- Plumbing: They will also find out what kind of pipes the home has and weigh the likelihood of them bursting. Some pipes are more prone to damage than others and may cause a claim to be denied by your insurance company.
- Roof: The roof’s age, materials, and condition are all that the inspector will look into. Most insurance companies will not insure a home with a shingled roof that is more than 20 years old or a tile or metal roof that is more than 40 years old. If the roof is not this old but has visible damage or water leaks, then they can deny coverage, too.
How Long Does The Inspection Take?
The average 4-point inspection usually only takes around 30 minutes to complete. Additionally, it is only a visual inspection. However, the insurance company may also request a home inspection or buyers inspection in addition to the 4-point inspection.
Are Home Inspections Required In California?
If you are a California home buyer, then you are not required to have a comprehensive property inspection done on the property. However, you should still have the house checked thoroughly. A home inspector will evaluate all the major aspects of the home, including the roof, foundation, and everything else typically included in the 4-point inspection.
Take note that there has been an increase in the frequency of inspections required by insurance companies before renewing a homeowners insurance policy or insuring a newly purchased home.
For more information on what is required before you can renew or purchase your homeowners insurance policy, contact Panorama Insurance Agency today. We would be happy to go over your options with you.