Does Home Insurance Cover DIY Renovation Mistakes?

DIY home renovations are more popular than ever. With the rise of YouTube tutorials and home improvement shows, many homeowners feel empowered to take on projects themselves from tiling a bathroom to installing a new light fixture. But while DIY can save money upfront, it can also cost you down the line if something goes wrong.

So, what happens if your well-intentioned upgrade causes damage? Will your home insurance cover a mistake you made yourself?

Let’s break it down including the gray areas where your insurer might say “no.”

The Short Answer: Sometimes, But Not Always

Homeowners insurance is designed to cover accidental and sudden damage like a burst pipe or storm-related roof collapse. But when the damage is caused by DIY errors, the rules change.

Generally, DIY mistakes are not covered when:

The damage results from poor workmanship or unsafe construction
You violated local building codes
You didn’t use licensed professionals for work that legally requires one (e.g., electrical or plumbing)
You caused the issue gradually (like a slow leak due to improper installation)

Coverage may apply if:

The damage was sudden and accidental (e.g., a pipe burst because a valve failed, not due to your workmanship)
The resulting damage is separate from the cause (your faulty tile job caused a leak, but only the water damage is covered—not the repair to your poor tiling)

Let’s take a closer look.

DIY Gone Wrong: What’s Typically Not Covered

If you mess up your renovation say, you install a kitchen faucet and it starts leaking behind the wall for months your insurer might not pay for the repairs. Here’s why:

1. Faulty Workmanship Is Excluded

Most home insurance policies explicitly exclude damage resulting from:

Defective materials
Improper installation
Poor workmanship (especially by unlicensed individuals)

Example: You wire new lighting in your basement, and a short circuit causes a small fire. Because the wiring wasn’t done to code, the fire damage might not be covered at all.

2. Negligence and Code Violations

Doing work that violates local codes like plumbing without a permit can void parts of your policy. Even if the damage was accidental, your insurer can deny the claim based on non-compliance.

3. Gradual Damage Isn’t Covered

Home insurance usually covers sudden damage, not problems that develop slowly over time.

Example: You install new tiles and fail to seal the grout. Over several months, moisture seeps through, rotting the subfloor. Since the damage happened gradually due to improper installation, it won’t be covered.

When Coverage May Still Apply

All is not lost. In some cases, your homeowners policy might still help especially if the damage was unintentional and sudden.

What might be covered:

Resulting damage, not the mistake itself. If your DIY plumbing job fails and floods the living room, your policy might pay to fix the water damage to your floor and furniture — but not the plumbing.
Injuries to others on your property caused by the result of your DIY (e.g., a railing you installed gives way and someone is injured — liability coverage may kick in)

Important: Your insurer will investigate. If they find negligence, they could deny part or all of the claim.

Protect Yourself Before You DIY

Planning to take on a big project? Here’s how to reduce your risk and stay within the bounds of your insurance coverage.

Tips to Stay Covered:

Know when to hire a pro: For electrical, gas, plumbing, and structural work, it’s safer (and often legally required) to use licensed contractors.
Get permits when needed: Work without permits can invalidate your coverage.
Document everything: Save receipts, take before-and-after photos, and keep track of the work you did. It can help prove your case if you need to file a claim.
Talk to your insurer first: Some policies offer coverage add-ons for renovations or let you update your coverage mid-project.

Special Coverage to Consider

If you’re a frequent DIYer or planning a major overhaul, your standard home policy might not be enough.

Consider these options:

Builder’s risk insurance: For large-scale home projects that expose the home to higher risk.
Liability umbrella policy: Adds extra protection in case someone is injured due to your renovation.
Homeowners policy endorsements: Some insurers offer optional coverage for “accidental construction damage.”

What About Damage Caused by Tools?

If you accidentally damage part of your home using a power tool — say, cutting into a pipe — your policy may or may not cover it, depending on whether the damage is considered accidental or due to negligence.

Again, the line is thin. Insurers often evaluate intent, care, and whether you reasonably should’ve known better.

Final Word: When in Doubt, Ask

Every insurance policy is different. Before starting any major DIY project, it’s worth calling your provider and asking:

“Will my policy cover me if this goes wrong?”
“Do I need to update my policy or add coverage?”

It’s a 15-minute call that could save you thousands later.

Next read: Should You Get Contractor Insurance for Big Home Projects?

If you’re hiring help or planning a major renovation, contractor insurance might protect you in ways homeowners insurance can’t. Learn when it’s worth the cost and what it covers.