What must homeowners disclose to insurers to avoid issues with coverage?

Homeowners must disclose material facts relevant to the coverage when applying for insurance. This requirement helps ensure that the insurer has a comprehensive understanding of the property and the associated risks. Material facts can include details such as the condition of the home, any renovations or structural changes, risks in the area (like flood or earthquake zones), and any history of damage that may affect the insurability or pricing of the policy. Full disclosure of these facts can prevent disputes later on if a claim is made, as it ensures that the insurance policy is based on accurate and complete information.

While all previous insurance claims may be relevant, not every claim is necessarily material to the specific coverage being sought. Similarly, significant changes to the property could be material, but not all changes carry the same weight in terms of insurance risk. The purchase price of the home may provide some context, but it does not encompass all the nuances of risk assessment that insurers consider when determining coverage. Hence, focusing on material facts is the most comprehensive and critical requirement for homeowners to ensure adequate coverage and avoid potential issues.