Should you notify your home insurance company if you fix the damage yourself?

By: Caitlin McCormack on November 4, 2025

Quick takeaway:

Notify your home insurance company before starting DIY repairs if you plan to file a claim, as an insurance adjuster needs to assess the damage first.
Weigh the cost of repairs against your deductible to decide whether filing a claim is worth it, especially for minor damages.
Review your mortgage agreement before opting for DIY repairs, as lenders may require licensed professionals or have specific conditions for insurance payouts.
Keep detailed records of repairs, including receipts and photos, to avoid complications with future claims or proof of work.
Understand that insurance payouts cover actual repair costs, not policy limits, and consider endorsements like guaranteed replacement cost for better coverage.

This article has been updated from a previous version

When unexpected disaster strikes your home, like a flooded basement or a hole in the roof, should notify your home insurance company? But what if you plan to fix the damage yourself?

The answer depends on whether or not you plan to make a claim.

While DIY repairs can save money, it’s important to understand how this choice affects your insurance policy, potential claims, and even your mortgage agreement. This guide breaks down what you need to know about notifying your insurer, filing claims, and navigating DIY repairs responsibly.

Contact your insurance company before you start repairs

If you’re planning on making a claim, you can still do your own repairs. However, you’ll need to notify your insurance company before you start the work so that an insurance adjuster can provide an estimate of the damage.

How you file a claim will depend on your specific policy, so be sure to contact your insurance company for details before you begin any work.

If you’re doing the work yourself and aren’t planning on making a claim, you might be hesitant about notifying your insurance company for fear that you could be penalized in the form of higher premiums — something drivers also grapple with when it comes to auto insurance claims.

Generally, simply asking a question shouldn’t result in higher premiums. But there’s no guarantee that once your provider finds out about any damage, they won’t raise your rates when your policy comes up for its annual renewal.

Keep in mind that not all repairs can be completed by a homeowner. For example, electrical work must be completed by a licensed electrician and inspected by the relevant safety authority. Depending on the repairs, you may also need to acquire certain permits.

When to file a home insurance claim

Sometimes, it's not worth making a claim for a small repair. The damages simply aren’t worth the hassle of having an insurance adjuster come out and assess the cost of repairs or dealing with the potential premium increase as the result of making a claim.

But there are some instances when you might want to file a claim against your policy.

For instance, when you believe that the cost of repairs is significant enough that the insurance payout would be worth the effort and hassle of making a claim, you probably want to file one. While you might not claim a $500 broken window that needs replacing after being impaled by a tree branch, you might want to file a claim if that branch goes through your roof and requires $5,000 in repairs.

A big component of this equation is the amount of your deductible in your policy (how much you pay out-of-pocket for a claim). If your deductible is $1,000 and your repairs are less than or close to that amount, it doesn’t make sense to file a claim. If the damages are significantly more expensive than your deductible, however, it makes sense to put in a claim.

Finally, if the damage to your home was the result of negligence rather than an insured peril, you might want to skip the insurance claim altogether, as your policy isn’t likely to pay out.

Learn more: Will a GoFundMe gift affect your home insurance claim payout?

Why make a claim if you’re fixing the damage yourself?

The primary reason to file a home insurance claim, even if you’re doing the repairs yourself is so that you’re reimbursed for the damage.

Home repair costs can add up quickly, depending on the extent of damage, which is why we have homeowner insurance in the first place.

Most standard home insurance policies reimburse you based on the ‘actual cash value’ of the damaged items. This means the payout reflects the cost of replacing the item in its current, used condition.

However, you may have the option to add a ‘guaranteed replacement cost endorsement’ to your policy. This endorsement covers the depreciation value, allowing you to replace damaged items with brand-new equivalents. Keep in mind, though, that this type of coverage typically comes with higher premiums.

It’s also important to note that your insurance payout will only cover the actual cost of the damage, not the maximum coverage limit of your policy. For example, if you have $50,000 in flood protection, but the damage only amounts to $20,000, your insurer will reimburse you for $20,000—not the full $50,000.

Check your mortgage agreement if you go the DIY route

If your home is mortgaged, it’s important to review your mortgage agreement before deciding to handle repairs yourself. Many lenders require that repairs be performed by licensed professionals, and some may even have a say in selecting the contractor.

Additionally, your mortgage contract may include a clause requiring your lender to be named as co-payee on any insurance claim cheques. This makes sure the lender has oversight on how the funds are used. Be sure to carefully check these details before proceeding with a DIY repair plan.

Another important consideration is the quality of your repairs. If your DIY work doesn’t fully restore your home to its pre-loss condition, you could face complications down the line. For instance, your insurance company may deny future claims related to the same area of damage if the initial repairs were deemed inadequate.

Insurance companies typically require proof of repairs—such as receipts, photos, or contractor invoices—when processing claims. They may also inquire about past repairs, so maintaining detailed records is essential.

It doesn’t matter whether you choose to fix the damage yourself or hire a professional: whether or not you notify your insurance company really comes down to if you plan on filing a claim.

If the damage is significant and you plan on filing a claim, or you need to hire a professional for specific tasks, you’ll want to notify your insurance company as soon as possible.