Most homeowners think once they’ve secured insurance, they’re protected, no questions asked. But what many don’t realize is that their everyday habits could be quietly putting their coverage at risk. From ignored maintenance issues to small DIY projects gone wrong, insurers are more aware of what happens in your home than you might think.
Insurance companies calculate risk, not just based on your property’s condition, but also on how you use it. And when certain red-flag behaviors show up in claims or inspections, it can lead to higher premiums, denied claims, or worse, non-renewals. In an age where insurance companies are pulling back from certain areas entirely, your behavior at home could be the difference between coverage and rejection.
Let’s look at eight surprisingly common habits that could be sabotaging your home insurance behind the scenes.
Letting Maintenance Slide, Even Just a Little
You might think that a small roof leak or an aging water heater isn’t urgent. But insurance companies see deferred maintenance as a red flag. When damage happens because a homeowner failed to upkeep their property, it’s often considered preventable, and that can lead to denied claims.
Insurers expect you to keep your home in reasonably good condition. That includes fixing leaky pipes, trimming dead trees, replacing damaged shingles, and keeping your foundation dry. If a claim is tied to something you neglected, even unintentionally, your policy might not help you when you need it most.
Having a Trampoline or Swimming Pool Without Proper Safety Measures
They may bring joy to your grandkids, but to insurers, trampolines and swimming pools are high-risk hazards. They’re known for causing injuries and liability claims, and if you don’t have the right safety precautions in place, like fencing, locked gates, or covers, your insurance company may refuse to cover them altogether.
Some insurers won’t even write a policy if you have a trampoline. Others might demand additional liability coverage or exclude certain claims outright. If you don’t disclose these features, you could end up voiding your policy completely.
Running a Business From Home Without Telling Them
Thanks to the gig economy and remote work, more people are running small businesses out of their homes. But if you’re storing inventory, welcoming clients, or using heavy-duty equipment, your homeowner’s policy might not cover damages tied to those activities.
Even something as simple as shipping products or offering tutoring sessions could be seen as increased liability. If your business leads to a claim, like a delivery driver slipping on your walkway or your equipment starting a fire, your standard policy may not apply. Letting your insurer know can help you get an appropriate rider or separate business policy.
Ignoring Outdated Wiring or Plumbing
If your home is older, it may still have aluminum wiring, knob-and-tube systems, or galvanized pipes. These components significantly increase the risk of fire, leaks, and mold—three things insurance companies loathe.
While some insurers will still cover older homes, they often demand proof that these systems have been updated. If they haven’t, they may charge more or refuse to insure you altogether. In some cases, they’ll cancel coverage after a home inspection reveals outdated or risky systems.
Keeping your home’s electrical and plumbing up to modern standards is one of the most effective ways to reduce risk and stay in good standing with your insurer.
Keeping Certain Dog Breeds, Even the Friendly Ones
It might feel unfair, but many insurance companies have blacklists. Owning certain dog breeds, regardless of the animal’s temperament, can cause your premiums to skyrocket or your liability coverage to be limited.
Breeds often flagged by insurers include pit bulls, Dobermans, Rottweilers, German Shepherds, and even large mixed breeds. If your dog bites someone, the financial consequences could be devastating if your insurer denies the claim due to breed restrictions.
You may be able to get coverage with a specialty insurer or by carrying additional liability insurance, but lying about or hiding your dog’s breed is never worth the risk.
Using Your Garage as a Workshop or Storage Dump
Garages aren’t just for cars anymore, but that can be a problem. Turning your garage into a full-scale workshop or using it to store flammable materials like paint, fuel, or chemicals can significantly increase fire risk.
Insurers evaluate this kind of usage as a higher liability. If your garage is overloaded or improperly ventilated, your home could be flagged as a fire hazard. And if a fire does occur due to your setup, there’s a possibility the claim won’t be fully covered.
Staying within code, organizing your garage safely, and minimizing flammable materials can help you avoid unwanted scrutiny during inspections or claims processing.
Installing DIY Home Features Without Permits
It might be tempting to install a deck, add a shed, or renovate your basement without pulling permits. After all, it saves time and money. But if your insurer discovers unpermitted work, especially if it causes damage, you could find yourself in serious trouble.
Unpermitted features often aren’t built to code and may increase the risk of structural failure, fire, or flooding. If those changes contribute to a claimable event, your insurance company may deny coverage. Worse, if someone is injured due to faulty work, you could be liable for the medical and legal costs out of pocket.
Before starting any major home project, check with your city about required permits, and inform your insurance provider if it materially changes your home’s value or structure.
Hosting Frequent Gatherings or Renting Out Your Property
Insurance companies aren’t thrilled about homes with a revolving door of guests. Whether you’re hosting regular parties or renting your space on platforms like Airbnb, more foot traffic means higher liability.
Standard homeowner policies typically don’t cover business-related activity like short-term rentals. And if an injury, theft, or property damage occurs during a rental stay or large gathering, your insurer might deny the claim, especially if they weren’t informed ahead of time.
You may need to upgrade to a landlord or short-term rental policy. Even if you’re just renting out a room a few weekends a year, transparency is key to protecting yourself and your property.
Don’t Give Your Insurance Company a Reason to Drop You
Insurance is designed to protect you when things go wrong, but only if you’re meeting your end of the deal. That includes disclosing risks, following building codes, and maintaining your home. Some of the behaviors that feel normal—like letting repairs wait or throwing a backyard party—might quietly be putting your policy at risk.
In today’s climate of stricter underwriting and rising premiums, staying on the right side of your insurer is more important than ever. It’s not about living in fear. It’s about living responsibly.
Have you ever had a home insurance issue you didn’t see coming? What did you learn from it?
Read More:
Why Homeowners Over 60 Are Facing Insurance Rejections
6 DIY Mistakes That Could Cost You Your Home Insurance
Riley Jones is an Arizona native with over nine years of writing experience. From personal finance to travel to digital marketing to pop culture, she’s written about everything under the sun. When she’s not writing, she’s spending her time outside, reading, or cuddling with her two corgis.
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