Will a 4-Point Inspection Save You Money?

Insurance cost for a home

Four-point inspections examine electrical, HVAC, plumbing, and roofing for homes and are generally inexpensive. Insurance underwriters typically require them for older homes.

A four-point inspection alone will not get you a discount on an insurance premium but rather determine the condition of a home. It will also reveal some of the major components of the property. Insurance providers typically use these inspections to deem whether a home is acceptable.

A four-point inspection should not be confused with a full inspection, which is more comprehensive and examines additional items such as interior, exterior, doors, windows, and more. Insurance companies use both for underwriting.

A four-point inspection should also not be confused with a home-inspection report. Insurance companies do not use home inspections. Instead, prospective home buyers commonly leverage them to decide if a property is investable.

The easiest way to remember this is that full inspections and home-inspection reports are typically more comprehensive, whereas a four-point inspection focuses on four areas:

  1. Electrical
  2. HVAC
  3. Plumbing
  4. Roofing