A four-point inspection is generally performed on a home and includes an inspection of the roof; the electrical system; plumbing system; and the heating, ventilation and air conditioning (HVAC) system of the building structure. It is used by insurance companies to reduce risk.
The four-point insurance inspection was created after Hurricane Andrew struck Florida in 1992 and became widely used after the barrage of hurricanes in Florida in 2004 and 2005. It is performed on behalf of the insurance company and is typically a requirement for a company to offer insurance to homeowners. The program is spreading to other areas of the country as insurance companies see the benefit of the inspection.
Insurance companies are reluctant to issue homeowner insurance policies on homes that are usually 25 years older or more. The concern is that older homes are more likely to have conditions that could become a liability to the company. For instance, a home with a roof nearing the end of its reliable service life may fail while under the policy, and the homeowner may seek reimbursement from the insurance company for damages to the home or its contents. Similar concerns extend to the condition of the HVAC, electrical and plumbing systems in an older home.