Elaborate outdoor living spaces appear here to stay post-pandemic, as do their risks

By Alex Zank, Front Page News

The desire for elaborate outdoor living and entertainment spaces that exploded at the onset of the pandemic appears here to stay for the foreseeable future. But those spaces, equipped with kitchen fixtures, expensive electronics, and other accident-prone playthings, carry added risks that policyholders must be aware of, according to a risk expert at Chubb.

In 2020, the most popular home-improvement investments were in outdoor living structures and accessories, according to Home Innovation Research Labs. A 2021 Fixr.com survey of home construction and design professionals showed huge interest from homeowners in outdoor living spaces, with outdoor kitchens the most desired addition. Kitchens remained the most popular outdoor trend in the website’s latest research.

“In the pandemic, we were getting a lot of questions from clients whether they were looking to purchase another home, put on another space to their home – they were looking for different types of space,” Jenny Naughton, executive vice president and risk consulting officer at Chubb, told Front Page News. The trend has staying power, she added.

“We haven’t necessarily seen that trend decline since the pandemic,” Naughton said. “It only really has increased.”

Many home additions go beyond a simple outdoor grill and outdoor furniture. People are adding permanent kitchen fixtures such as built-in gourmet barbeques; entertainment areas complete with TVs, speakers, and lighting; and patio heating systems.

Fires from kitchen equipment can damage property – many such cases result from improperly disposed ashes or from homeowners not shutting off fuel sources, according to Naughton. New pools or hot tubs increase the chances of someone slipping and falling. Weather events like large wind gusts or downpours can damage outdoor equipment and even cause damage to neighboring properties.

Naughton recommended homeowners speak with their insurance agent when planning an outdoor-living upgrade. Even a small upgrade could require a change to an insurance policy, meaning it can be a good idea for agents and brokers to proactively discuss the issue with clients. For instance, liability exposure will shift if a homeowner plans to host a wedding or other event in their yard.

“If the homeowner is very transparent with their agent to say, ‘This is how much it costs, let’s discuss our limits to make sure that we’re adequately insured if something happens,’ it’s a great way to protect their investment,” she said. “Most people just don’t think of it – it’s not that they avoid it, they just don’t think of it.”

Before executing a major outdoor project, homeowners should ensure they work with a contractor who knows proper safety guidelines, said Naughton. Fuel sources should be at least 10 feet from the home, and kitchen building materials down to the adhesives should not be flammable. Grills and other equipment should be equipped with leak detectors. Patio heaters should be placed in areas where they won’t be tipped over. Furniture placed on outdoor spaces of high-rise buildings need to be bolted down so they won’t blow away in strong winds. A simple way to help prevent injury around pools is to ensure the area is well lit.

“We’d love for homeowners to think about the risks before they start a project,” she said.

Reporter Alex Zank can be reached at alex.zank@zywave.com