How Halloween, Thanksgiving and Christmas risks affect home insurance

Halloween trick-or-treating and jack-o-lanterns can be downright spooky – for your home insurance.

According to Travelers Insurance, there is a 14% increase in home insurance claims on Halloween compared to other days of the year. On-site theft claims increase by 46%.

Trips or falls, theft, fire and accidents involving pets are among the insurance risks on All Saints Day.

“Not all of these things will result in a claim, but they can certainly happen throughout the night,” said Angi Orbann, vice president of property and personal insurance product management at Travelers Insurance.

More from Personal Finance:
Here's how to save money this holiday season with slow shopping
Only one group can “easily afford” holiday spending this year, according to a survey.
Year-end Roth IRA conversions are popular—but don't wait too long

What's even scarier is that Halloween is just the prelude to some of these risks that will persist throughout the holiday season if you increase foot traffic in your home.

“The two issues are basically fire and liability,” said Loretta Worters, a spokeswoman for the Insurance Information Institute.

The average homeowner's loss from fire and lightning costs $83,991, according to the Insurance Information Institute, based on claims from 2018 to 2022. During the same period, the average cost of bodily injury and property damage liability claims was $31,690.

How such claims affect your insurance costs depends on the number of claims you have filed in a year, the nature of the problem, where you live and the extent of the damage, experts say.

“Be aware that the claim could result in a surcharge the following year,” Orbann said.

If you haven't already, add these three steps to your to-do list to avoid danger tonight and for the rest of the year:

Homeowners should minimize dangers to visitors on paths and entrances, “especially when it can be dark and difficult to see,” Orbann explained.

“With all the celebrations surrounding Halloween and trick-or-treating, it is important to think about the safety of trails and the accessibility of your home,” Orbann said.

Make sure paths are clear and “everything is very well lit,” she said.

When it snows, shovel and clear your path so partygoers, carolers and other holiday visitors have a clear sidewalk, Worters said.

Consider other risks associated with partying. If you host a house party where alcohol is involved, you may risk liability for injuries or property damage caused by a drunk guest, Worters added.

“If you see someone who has had too much to drink, don’t let them drive,” Worters said, and consider other measures such as limiting alcohol consumption and encouraging guests to use rideshare services.

Holiday decorations such as light displays, Christmas trees, and candles on a mantel or jack-o-lantern can start a fire if left unattended.

“For safety reasons, we recommend using LED lights or battery lights instead of live candles,” Orbann said.

Worters agreed: “If a Christmas tree burns, it can often result in the total loss of a home.”

If you choose a natural tree, be sure to water it properly and avoid having flammables nearby, experts say.

“Cooking fires are also the leading cause of home fires and home injuries,” Worters said.

For example, avoid using the stove if you're too tired, she said. Turkey fryers — common on Thanksgiving — “also pose a lot of risks” if not used properly, she added.

If you have a pet, make sure it is secured on Halloween, both to protect trick-or-treaters and the pet, Orbann said. The same goes for other holiday celebrations and events.

Worters says insurers will have different coverage rules depending on what type of pet you own or breed, whether through higher fees for certain breeds or no coverage at all.

“If the dog is untrained and there is a loss or injury, your liability insurance increases tremendously,” Worters said.

Theft can also pose a higher risk during the holidays, when “people order a lot online and have packages delivered,” Orbann said. Consider securing your packages and perhaps installing smart home cameras or doorbells, she suggested.

“You can also hire a neighbor to keep an eye on the house,” Orbann said.