Home ownership has become increasingly costly, with rising property taxes, insurance premiums, and maintenance expenses stretching household budgets. A growing number of homeowners are now delaying necessary repairs and skipping insurance claims due to financial pressures and fear of triggering inspections they might not pass.
Homeowners Are Postponing Repairs and Claims
A 2025 survey by Guardian Service, a company that helps consumers shop for insurance policies, found that more than 70% of homeowners have put off renovations this year. While budget constraints remain the primary reason, fear of filing an insurance claim — and the potential for a failed inspection — has also become a significant factor.
For this reason, nearly one in four homeowners admitted to avoiding a home insurance claim. The trend is even more pronounced among younger homeowners, with one-third of Gen Z respondents saying they were too nervous to file.
This reluctance to take action can lead to larger, costlier issues. Small problems, such as a minor leak or a loose shingle, can escalate into structural damage or mold if left unaddressed. In some cases, insurers may deny claims altogether if damage is found to be the result of neglect.
The Long-Term Costs of Avoiding Repairs
Delaying repairs often has compounding effects. What could have been a simple fix may turn into extensive, expensive damage over time. Additionally, future claims may be denied if an insurance company determines that a homeowner failed to disclose or maintain their property properly.
While some homeowners worry that filing a claim could increase their rates or prompt a policy review, avoiding claims altogether can be even more financially damaging. Over time, unrepaired issues typically grow more costly, and waiting too long can reduce the likelihood of receiving full coverage.
Which Repairs Are Being Delayed?
According to Guardian Service, homeowners reduced their home improvement budgets by an average of 42% in 2025, with two-thirds cutting those budgets entirely.
Most prioritize only essential fixes while postponing cosmetic updates such as painting, flooring, and decor — 48% of respondents reported delays. Even value-adding projects like kitchen and bathroom remodels are being shelved.
However, the delays in safety-related and critical system repairs are more concerning. Fewer than 25% of homeowners plan to move forward with window replacements, plumbing or electrical upgrades, or roof repairs this year. Even in the midst of record heat waves, 14% say they are delaying HVAC replacements.
DIY Repairs on the Rise
With professional labor costs climbing, more homeowners are turning to do-it-yourself repairs. About 62% reported tackling critical repairs themselves instead of hiring contractors.
Younger homeowners are leading this trend, with two-thirds of Gen Z and millennial homeowners using online tutorials and videos to guide their projects.
While DIY efforts can reduce upfront costs, they may create future complications if homeowners fail to notify their insurance provider about major upgrades. Without reporting these changes, extended or guaranteed replacement cost coverage — which provides extra funds if rebuilding costs exceed the policy’s stated amount — may no longer apply.
Hidden Insurance Rules and Missed Opportunities
One of the most common — and expensive — mistakes is neglecting to inform an insurer about major home upgrades. Renovations such as kitchen remodels, room additions, or even installing a new wood stove can alter a property’s value and risk profile. If these updates are not disclosed, they may not be covered under an existing policy.
Conversely, certain upgrades can actually help lower premiums. Nearly half of the surveyed homeowners said they would proceed with delayed projects if they knew it would reduce their insurance costs.
However, 71% of homeowners reported that their insurers had not clearly explained which improvements could lead to savings. Common premium-reducing upgrades include:
- Installing a smart thermostat
- Adding a central security system
- Replacing old windows with storm-resistant models
- Updating the roof
- Implementing fireproofing measures, particularly in wildfire-prone areas
Because policies vary widely, experts recommend consulting with an insurance provider or licensed agent to understand which improvements can both enhance safety and lower monthly premiums.
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