(626) 788-9191

How Smart Homeowners Document Property Before Disaster Strikes

Homeowner Keeping Detailed Records

If your home burned to the ground today, would you remember everything that was inside?

Would you remember the date you purchased that item? Or where you purchased it?

Do you have receipts or other documentation proving you owned that item?

What about home appliances? Your new flooring? The new fixtures you installed? The make and model of your dishwasher?

This may seem excessive. However, knowing this information could significantly alter the value of your insurance claim.

That’s why smart homeowners document their property before disaster strikes. Today, we’re highlighting some of the tips and best practices for creating a home inventory.

Why Photos & Videos Are Critical for Claims

To understand the importance of documenting property, it helps to understand why photos and videos are critical for claims.

Some of the reasons photos and videos are critical include:

  • Detailed photos and videos of every room and item in your home lead to a more precise insurance claim and fairer payout
  • Photos and videos of high-value items help you prove ownership and value
  • Without photos and videos, you might have little concrete evidence that you actually owned the item
  • Insurers often use the cheapest possible replacement value for each item – especially if you lack concrete evidence

Creating a Home Inventory Checklist

There are a few different home inventory apps and methods.

Many homeowners simply use a spreadsheet or cloud storage folder. You might have a folder with spreadsheets, photos, and videos of your entire home, for example.

Or, you can use an app like:

All three apps make it easy to organize items in your home, add relevant data, and adjust that data over time. Plus, data is stored in the cloud – so even if you lose your home, you won’t lose your home inventory.

If going the DIY route, consider a pre-made template from United Policyholders or the New York DFS:

Information to Include

A good home inventory includes all of the following:

  1. The name and a basic description of the item
  2. Approximate value of item (ideally, backed by receipts or formal appraisals)
  3. The date you purchased the item
  4. Any receipts, invoices, documentation, or other relevant information for the item
  5. The serial number, model number, or any other information unique to that item
  6. Photos and videos of the item

The more valuable the item is, the more important it is to be thorough. You might not need a full entry for your bedside lamp, for example, but you should have thorough documentation for your high-end electronics and jewelry.

Contact Your Insurer About Home Upgrades & Renovations

Have you recently renovated your bathroom or kitchen? Your insurer may require proof – say, in the form of photos, videos, or an appraisal.

Typically, insurers only care about major projects – like replacing a roof or adding a room.

However, you should alert your insurer regardless, as it could impact the value of your policy. Your home’s replacement value may have been $400,000 before the renovation, only to rise to $420,000 after the renovation. In a total loss claim, that could mean $20,000 more in your pocket.

This may seem like a frivolous step, but it’s important: many homeowners have lost a home to a total loss immediately after a renovation – only to realize they never told their insurer about the renovation. This can wipe out the added value of the renovation and leave you with an enormous out-of-pocket loss.

Do a Narrated Video Walkthrough of Your Home Once Per Year

Instead of categorizing every small item in your home, consider a narrated video walkthrough once per year.

Tips for a video walkthrough include:

  1. Hold your phone horizontally and record a high-quality, slow-moving video walkthrough of your home once per year
  2. Expect to spend around 30 to 60 minutes on the walkthrough
  3. Narrate the walkthrough; explain which rooms you’re in
  4. Open every drawer, door, and closet
  5. Get all of the contents of your home on video
  6. Capture details, finishes, and other features, zooming in or pausing on items when necessary to capture details

If you have a total loss claim at any point in the future, then this video could change your financial future.

Without Documentation, Insurers Use the Cheapest Option

After a loss, insurers ask for a list of your contents. Without a good home inventory, your kitchen inventory might look like this:

  • Toaster
  • Coffeemaker
  • Blender

That may sound like enough information. However, without specific information, insurers will use the cheapest item from each category.

Maybe you had a $400 stainless steel smart toaster in your kitchen, for example. However, if you simply write down “toaster,” your insurer will estimate the value at $10 – the cheapest available toaster.

These discounts can quickly add up. Insurers use this tactic to save thousands per year.

How Often to Update Your Home Inventory

Generally, it’s best to update your home inventory:

  • Whenever you buy a new high-value item or change something about your property
  • Once or twice per year
Don’t Wait for Disaster: Document Today

Documenting your home today isn’t just about writing down high-value items.

It’s about taking photos and videos of every room in your home.

Ideally, you’ll never need to use this documentation. You’ll never make a homeowners insurance claim or experience a total loss like a house fire.

If you do, however, experience a loss, then having this documentation could ensure fair treatment – and fair compensation.

Struggling to provide documentation to an insurer after a covered loss? Contact Ironside Claims for a free consultation.

Ironside Claims’s public adjusters know what insurers need to see – and how to present that information in the best possible way – to receive the payout you deserve.