Pool Insurance: Above-Ground Coverage

Adding an above-ground pool to your property will likely increase your home insurance rates. This is because you now have an additional piece of property that could be damaged, and you're also more likely to file a liability claim. The increase in your insurance premium will depend on several factors, including the type of pool, your location, and the pool's location within your home.

Above-ground pools are considered personal property

The distinction between personal property and other structures is essential because it determines the coverage limit available to you after a loss. Personal property coverage applies to items that are not attached to the dwelling, and basic above-ground pools typically fall within the standard coverage limits. However, other structures coverage is usually only 10% of your home's dwelling coverage limit, so additional coverage may be necessary to ensure adequate protection.

It's worth noting that insurance companies may have different criteria for classifying above-ground pools. For example, Allstate considers above-ground pools as personal property due to their impermanent and portable nature. In contrast, other insurance companies may consider permanent above-ground pools as separate structures, falling under the other structures coverage of your policy. Therefore, it's important to consult with your insurance provider to understand how your above-ground pool is classified and ensure you have the appropriate coverage in place.

In-ground pools are covered under 'other structures'

In-ground pools are considered permanent structures and are typically classified as "other structures" in a home insurance policy. This means that they are covered under the "other structures" section of your policy, which usually provides coverage for 10% of your dwelling coverage limit. For example, if your home is insured for $250,000, you would have up to $25,000 in coverage for all detached structures on your property, including your in-ground pool.

It's important to note that the coverage limit for "other structures" may not be sufficient to cover the full cost of repairing or replacing your in-ground pool if it is damaged or destroyed. In such cases, you may need to purchase additional coverage or consider a separate umbrella policy.

Additionally, in-ground pools may also be covered under the "dwelling coverage" section of your policy if they share the same foundation as your home. This typically applies to indoor pools or outdoor pools that are genuinely attached to the home.

When it comes to insurance for in-ground pools, it's crucial to review your policy carefully and understand the coverage limits and exclusions. Some common exclusions for in-ground pool insurance include damage due to wear and tear, lack of maintenance, failure to winterize the pool properly, and flooding.

Furthermore, having an in-ground pool may also impact your liability coverage. Pools are considered an "attractive nuisance," which means that you may be liable for any incidents or injuries that occur, regardless of whether the person had permission to use the pool. As a result, you may need to increase your liability coverage limits or consider purchasing a separate umbrella policy to protect yourself financially in the event of a pool-related accident.

Pools increase insurance rates due to higher risk of claims

Pools, whether above-ground or in-ground, are considered an "attractive nuisance" by insurance companies. This means that they are artificial bodies of water that might attract and endanger a child. As such, pools increase insurance rates due to the higher risk of claims.

The attractive nuisance doctrine imposes a higher level of responsibility on homeowners who have created dangerous conditions that attract children to their property. This means that homeowners with pools are liable for any incidents that occur, regardless of whether the person had permission to use the pool or not.

The increased liability exposure associated with pools means that homeowners insurance policies will often have higher rates to account for the higher risk of claims. The exact increase in rates will depend on several factors, including the location, the type of pool, and the location of the pool within the home. In most cases, insurers add approximately $50 to $75 to the premium for a pool. However, this cost can go higher depending on the liability coverage and the safety measures in place.

Homeowners with pools may also need to increase their liability coverage to ensure they have adequate protection in the event of a claim. Most homeowner's policies come with standard liability coverage of $100,000, but insurance companies typically recommend increasing this to $300,000 to $500,000 when installing a pool. This increase in coverage will also result in higher insurance premiums.

In addition to higher rates and increased liability coverage, homeowners with pools may also need to invest in safety measures to reduce the risk of accidents and claims. These safety measures can include fencing, safety covers, lighting, and non-slip surfaces. While these measures can help prevent accidents, they may also help reduce insurance premiums, as insurers view them as mitigating the risk of claims.

Overall, the presence of a pool, whether above-ground or in-ground, increases the risk of claims and, therefore, results in higher insurance rates and the need for additional coverage.

Pools are considered an 'attractive nuisance'

Pools are considered an attractive nuisance because they are artificial conditions that attract children and put them in danger. Even if a child is trespassing, the owner of the pool can be held legally responsible for any injuries that occur. This is especially true if the pool has a slide or a diving board, or if the owner lives in a community with many young children or near a school.

The Attractive Nuisance Doctrine creates an exception to the rule that landowners do not owe any duty to a trespasser other than to refrain from willfully injuring them. This doctrine usually applies to trespassing children who are enticed onto a landowner's property by an attractive nuisance. Under this doctrine, the landowner owes the same legal requirements to the child as they would to a person they invite onto their premises. While the child may be considered a trespasser, the protections a landowner must provide are different from those required for an older person who is trespassing.

Over the years, the Attractive Nuisance Doctrine has been defined through a series of court cases. A particularly important case in 2001 determined that children are owed a different "duty of care" even if they are trespassing on a landowner's property. While attractive nuisance lawsuits are often taken on a case-by-case basis, there are five main principles that a court will use in every situation to determine whether or not an object was an attractive nuisance:

• The landowner knows or should know that children are likely to enter or trespass onto their property.
• The landowner knows the object or condition on their property could seriously harm or lead to the death of a child.
• The children who trespass are too inexperienced or too young to understand the consequences of their actions or the risk they face.
• The cost to the landowner of fixing the condition or maintaining it is minimal compared to the risk it creates for children.
• The landowner fails to take reasonable steps to correct the condition and eliminate any dangers to children.

To reduce the risk of an attractive nuisance incident, homeowners can take several precautions, including installing a fence at least four feet tall, with a locking gate, around the pool. A pool alarm system may also be installed, and all pool chemicals should be safely stored out of reach. Filling in pools that are no longer in use with substantial material, such as dirt or cement, can also help to reduce the risk of an incident.

In addition to these safety measures, homeowners with built-in pools may want to consider increasing their liability coverage limit. If the coverage provided by their homeowner's policy is insufficient, an umbrella policy typically offers liability coverage in increments of $1 million up to $5 million.

Safety measures can reduce insurance premiums

Installing safety measures around your swimming pool will not only prevent accidents but also reduce your insurance premiums. While this can be costly, it is worth considering for both your peace of mind and your wallet. Here are some safety measures you can take to reduce your insurance premiums:

• Install a perimeter fence, a pool cover, a non-slip surface, proper signage, and a safety railing. These measures will not only make the area safer but also bring down the cost of your premiums.
• Ensure your pool is constructed with recommended pool safety measures in mind. Some materials and products are considered unsafe and could increase the cost of your insurance.
• If aesthetics are a concern, consider aesthetically pleasing walls or gates that will also enhance safety.
• Supervise children or people who do not know how to swim when they are around the pool. As with any insurance, fewer or no claims can warrant better rates and can even be used to request discounts.
• Set up rules that must be observed around the pool, especially during pool parties. For example, if things get too rowdy, move the party inside and close off access to the pool area.
• Regularly maintain your pool by removing debris, checking for cracks, and hiring a professional to open and close the pool.

By implementing these safety measures, you can not only make your pool area safer but also reduce your insurance premiums.

Frequently asked questions