VIP Inspections
Inspection Can Open Door to Home Insurance
Consumers occasionally have trouble finding affordable property insurance because some insurers fear their homes will generate too many claims. Insurance companies may label these homes "uninsurable."
In many cases, these homes are in older rural or inner-city neighborhoods.
Texas´ Voluntary Inspection Program (VIP) offers owners of well-maintained homes a way to show insurers that they deserve coverage.
Under the VIP, a home receives a "certificate of insurability" if it passes an inspection by a credentialed inspector, qualified by the Texas Department of Insurance (TDI). You can get a list of inspectors by calling TDI's Consumer Help Line at 1-800-252-3439.
A certificate of insurability creates a presumption your home is insurable. If you have a certificate, an insurance company can't refuse to sell or renew a policy because of your home's condition unless the insurer re-inspects it and describes the deficiencies in writing.
Inspection fees are limited to $100, plus an additional $50 if you need a follow-up inspection to verify corrections of problems identified the first time around.
Once you have a certificate of insurability, it's good for three years so long as you don't make substantial changes to your property. If that happens, an insurer can require an additional inspection. An insurance company may also require a written statement from you that there have been no significant changes to the property since it was inspected.
To receive a certificate of insurability, a home must meet a list of reasonable standards issued by the TDI. These include, but aren't limited to
good maintenance, with no un-repaired damage and no accumulation of trash, brush, or debris in the yard.
wiring in good working condition, with no flickering lights or evidence of overheating.
no curled, cracked, or significantly deteriorated roof coverings, or missing shingles.
plumbing, heating, and cooling systems in good condition and free from leaks.
space heaters and hot water heaters properly vented and not too close to walls and furniture.
no unfenced swimming pools, hot tubs, fish ponds, bodies of water, or trampolines.
property accessible to fire-fighting equipment.
no signs of active termites or un-repaired insect damage.
Many homes can easily meet the standards for a certificate of insurability.
Criteria in Determining Average or Better Condition
Exterior
Only minor cosmetic foundation related cracks on the slab or above windows or doors
No major cracks, separations or evidence of shifting or movement in walls, walks and driveway
No missing window or door panes
No signs of active termites or un-repaired insect damage No accumulation of trash, brush or other debris in yard
Exposed wood (siding, fascia, soffit, doors, steps, etc.) in good condition with no evidence of significant deterioration or significant peeling of paint
Pier and beam foundations enclosed under all outside walls
Additions, modifications or repairs to the exterior made in accordance with generally accepted standards at the time of the construction
Roof
No roof coverings that are curling or cracking or missing shingles
No roof coverings that show signs of significant deterioration
No roofs that have been improperly installed or repaired
Interior
No visible water damage
No major cracks or separation in interior walls, flooring and ceiling
Major appliances in good working condition
Additions, modifications or repairs to the interior made in accordance with generally accepted standards at the time of the construction
Electrical
Electrical wiring in good working condition
No evidence of fuses repeatedly blowing or breakers tripping
No flickering lights or evidence of overheating wiring
Additions, modifications or repairs to electrical wiring made in accordance with generally accepted standards applicable at the time of installation
Plumbing, Heating, Cooling Systems
Plumbing, heating and cooling systems in good working condition
Free from leaks
Space heaters and hot water heater properly vented and appropriate distance maintained from walls and furnishings
Additions, modifications or repairs to plumbing, heating and cooling systems made in accordance with generally accepted standards applicable at the time of installation
Other Conditions
Outbuildings and fences in good condition
No business or commercial exposures on premises
No vacancy of the property
Property accessible to fire equipment
No unfenced swimming pools, hot tubs, fish ponds or bodies of water or trampolines
For more information contact us or you may contact TDI at 800-578-4677 (in Texas) or e-mail them at: ConsumerProtection@tdi.state.tx.us
Source: Texas Department of Insurance 2006.
The Texas Department of Insurance nor The State of Texas endorses this web site.