Homeowners Insurance Increase (Again)...

alk to your agent. They’ll tell you why rates have gone up. Cost to repair/rebuild/replace have increased. It’s just that simple. It’s inflation.
Looks like inflation somehow learned geography — it sprinted through Colorado and Florida, then slowed down noticeably by the time it reached Vermont and New Hampshire :)
 
Last edited:
You mean all of the improvements to the environment in terms of reduced gas house emissions? Those changes?
Greenhouse gas emissions have risen every year since the 1800's, and you would know that if you bothered to do 10 seconds of research rather than belching out the lies fed to you.


 
Greenhouse gas emissions have risen every year since the 1800's, and you would know that if you bothered to do 10 seconds of research rather than belching out the lies fed to you.


Are you saying that we've done nothing by way of making cars more efficient, as one example, to reduce gas house emissions? Because that was my point.

You clearly believe in climate change and I'd no sooner try to dissuade you of your belief than argue with an evangelist on the existence of God.
 
What changed is that insurers stopped pricing folklore and started pricing claims . When forests that rarely burned begin producing repeated megafires, when fire seasons get longer, drier, and hotter, and when a 120-acre fire no longer even registers as unusual, it is difficult to argue that “nothing changed” except the vocabulary used to describe it.

A business that lives by risk models usually notices reality before ideology does.
Folklore?

Insurance carriers have always priced or included a pricing component based on claim exposure, which is driven by past events. Actuaries have been doing this forever.
 
Reno is almost 6 degrees above 50 years ago. That can't possibly be ..........climate change, because that would be unpossible! Because climate change clearly doesn't exist! Un-possible! You guys crack me up.
 
I don’t have a dog in the fight, but there was something I saw at Mesa Verde NP that I always thought was interesting. They did a tree ring analysis from one of the timbers found in the cliff dwellings. There was a period in the 1200’s where there was almost no rain for 30 years. A severe drought of unimaginable proportions. Possibly why the dwellings were vacated.

I also spent sometime with a local historian who said the aquifers and the water tables have dropped tremendously in the last 200 years in Colorado. He said there were far more streams on the surface, but immigration into the area has drained these resources. What effect did this surface water have?

Just things that make you think.
 
I really thought a huge spike was going to happen for us here in Central Texas on our homeowners insurance policy. It doesn't appear to be the case. None of the coverage has changed in the renewal notice this year. Our homeowners policy period starts in June:

June 2023 - June 2024: +34%
June 2024 - June 2025: +15%
June 2025 - June 2026 (renewal offer): +2%

The bundled auto insurance policy for the renewals in 2024 and 2025 (September) had about the same increase. Fingers crossed that this year's auto renewal has a similar increase of 2%.

The bundled umbrella policy (June) cost remains unchanged in the renewal notice.
 
Are you saying that we've done nothing by way of making cars more efficient, as one example, to reduce gas house emissions? Because that was my point.

You clearly believe in climate change and I'd no sooner try to dissuade you of your belief than argue with an evangelist on the existence of God.
Cars are more efficient, but there are more of them. No evangelical beliefs are needed.


The US has started moving away from powering electrical generation with fossil fuels, but some parts of the rest of the world are moving more slowly. Climate is a worldwide attribute. The US has ~340 Million people. There are ~8 Billion other people. There are 24 non-USA residents for every American.

I believe in science. Science says, unequivocally, that the climate is warming. It isn't a religion, it is science.
 
I'm amused by the armwaving from peeps who aren't in Reno, don't care about Reno and who don't hike in the Sierras who will proclaim, "there is no climate change because....." If you hike in the Sierras, you will note huge strands of pines attacked by the pine beetles, in the trees that replaced those cut down after the Civil War for the mines in Virginia City. You can't miss the dead trees, all throughout the Northern Sierras, if you hike in the backcountry. Old timers here note the summer heat increases discussed below. But, yea, tell all the old timers they are hallucinating.

"In Nevada, average temperatures have been increasing over time. In fact, eight of the 10 warmest years since 1895 have occurred between 2000 and 2020. Although temperatures throughout the state are increasing, the rate of warming is not the same everywhere. Urban areas, for example, are getting hotter faster than rural areas. Average temperatures are expected to increase in all seasons, but the warming is likely to be greatest in the summer and fall. Higher temperatures affect multiple sectors, including public health, agriculture, hospitality, the environment and water resources.

Increasing average temperatures will also lead to more frequent and severe heat waves and hotter days and nights. The term heat wave generally refers to spells of much hotter than normal weather, sufficient to be unpleasant or even unsafe. The number of very warm days—when daytime temperatures exceed 95 F—has already increased across the state, with the largest increases in southern and northwestern Nevada. The severity and number of extremely hot days and warm nights are expected to increase. Extremely high temperatures pose a danger to human life and physical and mental health3,4, to transportation, the electrical grid, ecosystems, livestock, and crops. Extreme heat increases fire risk for some vegetation types4 and can also negatively impact wildlife6. Extreme heat also impacts air quality, as higher temperatures are associated with increased ozone levels7.

Urban heat islands occur in developed areas that retain heat, especially at night, leading to higher temperatures relative to more rural, non-developed surrounding areas. We are already seeing the effects of urban heating in Reno and Las Vegas. Although urban heat islands are not caused by global greenhouse gas emissions, urban heating is expected to continue, leading to warming in cities beyond what is seen in regional climate projections. "

But yea, I'm just dreaming about this, and as the excerpt notes, urban heat island effects makes it worse. You can armwave and say what is happening, isn't happening because it doesn't suit your ideology. It did snow yesterday (but nothing stuck!) My nectarines might survive the freeze on Wednesday. I hope next year will be a wet year, because we got nothinks this winter, so we're cinching up here for drought.

 
Last edited:
By the way, Mesa Verde is one of the hidden wonders of the US; by all means go there if you are in the area, as cheesehead posts. I went there as a teen (and several times since).
 
Our homeowners insurance increased by 40% this year, from $988 to $1383. This is bundled with our auto insurance through Progressive.

I shopped around for a better price on bundled Auto and Home and found that a couple insurance companies had a better price for the Home policy but the Auto was much more expensive. I ended up calling Progressive and asking if they had any options for a better price on the Home insurance. The resolution was switching to another one of their offerings for Home through Homesite Insurance. This was not offered through their website, I only found out about it by calling and asking.

The new Home insurance is $1093/yr, a 10.6% increase over the previous year. Home prices in our area have increased steadily and our home is valued at around $250,000 (insured for much more plus contents, loss of use, liability, etc.) so an increase in the insurance is reasonable. And cost to repair or rebuild have also increased. We increased the deductible and opted out of some optional coverages.

At this stage in our lives I want to insure for the big things, not the small things we could cover. If we had an event with a total loss, I don't think I'd try to replace all the old stuff we have accumulated. Probably tear it down and sell the land and move on.

But the WORST PART about shopping for new insurance is that I thought it would be easy to get quotes online. Needed to give info including phone number or email for verification and receive quotes. This led to weeks of multiple calls, texts and emails. After a few weeks of this I blocked everything and it has finally calmed down.
I worked for homesite until recently. Certain discounts fall off over time ( a few years). A few things to keep in mind. Our best discount is age of roof discount.so if you replace your roof, make sure they receive all the paperwork they need right away. And make sure the age is showing correct on your policy, less then 10 years is discount. Also you want to check over policy to see if roof is insured for replacement value or actual cash value. If actual cash value maybe another company will insure for replacement idk but if your roof gets wrecked you want replacement not actual cash value.

10% discount for auto / home bundle if you aren't already doing that. Sometimes adjusting a deductible or taking off an endorsement can substantially change the price. Biggest endorsement to take off and save money is typically replacement cost for your items, not the structure. Basically means instead of the cost of new, they give you cost of item minus its age. So new TV cost 1000, with actual cash value if it's 5 years old maybe they only give you 500. With replacement cost they don't care how old the TV is they just give you replacement cost for it. Some ppl just don't care much about money to replace their items just about getting full rebuild cost for the structure.

About every 4th year I'd get a new quote from homesite. 5th year some discounts on expire. When they quote you, doesnt matter you already have a policy with them.

Homesite was a pretty good company to work for I actually really liked it and I don't think they are a bad company to be insured by. Insurance is pretty tightly regulated by the state you live in so the consumer has a lot of protections. But I have been long insured under USAA, which I always recommend getting a quote from if you can. USAA issues a refund of premium each year if they made more money then they needed. Its not usually much of a refund but the fact that they give it shows they aren't trying to take you for every dollar :). Consumer survey after survey notes satisfaction is highest with usaa.

Homesite's 5 year corporate strategy is to increase profits from 2 to 5 percent overall and to ensure half of all leadership positions are held by non-white and non male people. For home insurance anyways, average profit per dollar I was told was 2%, as in 2 cents on the dollar not a huge amount tbh. I believe that was true and I think home insurance is a good deal when they are only making 2% profit off you to give you that peace of mind and have your home insured.
 
I thought red states were against strict regulation of business — interesting that they also seem to have the highest concentration of insurance pain.

I apologize for saying it, but you guys are a funny bunch when I read your postings on this subject.
I live in a deep blue state - just so you know.
 
Last edited:
Just getting caught up on reading some of the comments.

DW & I just talked about her business and she said inflation and claims costs are pushing her company's rates up, but they're writing less business due to the new competition undercutting them. Her company is no longer writing auto coverage in TX due to inflation.

She works for the Environmental division NJ office and never mentions climate change in their discussions... Just saying. Their company is ~9k employees all over the country & write niche business policies.

Living near unstable areas of the coast or fire-prone areas & more people moving there has to be a factor for property and auto overall. Making cars easier to total with all the technology added in is another overlooked one. So many variables to consider.

California has the bigger problem of regulation pushing out businesses and reducing the competition, therefore raising rates too.

If you give them an excuse to raise, they will...
 
She works for the Environmental division NJ office and never mentions climate change in their discussions... Just saying. Their company is ~9k employees all over the country & write niche business policies.
LMAO. Sure. They probably have a corporate edict to not say "CC" to prevent the wrath of someone coming down on them for using the wrong words, but I guarantee they are talking about "CC" by labeling it something else. "Environmental trends indicate that there is a higher potential for losses along the NC coast", would be an example of the doublespeak.

All of you disbelievers: simply go to Google and use the search term "climate change and the insurance industry." Take a look at the TENS OF THOUSANDS of hits you will get, including in depth whitepapers from various insurance industry consultants and organizations, and then get back to us on how it doesn't matter to insurance rates.
 
LMAO. Sure. They probably have a corporate edict to not say "CC" to prevent the wrath of someone coming down on them for using the wrong words, but I guarantee they are talking about "CC" by labeling it something else. "Environmental trends indicate that there is a higher potential for losses along the NC coast", would be an example of the doublespeak.

All of you disbelievers: simply go to Google and use the search term "climate change and the insurance industry." Take a look at the TENS OF THOUSANDS of hits you will get, including in depth whitepapers from various insurance industry consultants and organizations, and then get back to us on how it doesn't matter to insurance rates.
I never said I was a "disbeliever". Just giving a personal, somewhat inside knowledge experience. Smog, coal plants, everything made from oil / plastic...isn't good for anyone or the world.

The founders and majority owners of her company are pretty blue, from CT...you'd think they would be more vocal on the topic.
 
Chiming in on OP post here - just got the bill for my property insurance - 25% increase this year - 66% of it due to prices - 33% due to internal company decisions (charging customers for payback to state agency for something).....company - USAA - have been with them since I was 17 years old (in my 60s now).....sigh...truly sad to see the degradation of a once wonderful company on so many levels....but then, TBH, that's happening across the board with many companies I have maintained 'relationships' with over the years. Issue is I don't think I could get it much cheaper for my location - additionally, I have taken on the largest deductibles I can on all of my insurance products. My history - I've never made a claim for anything outside of glass coverage on my autos in the 40+ years I have been with this company.....rock/hard place for sure.
 
truly sad to see the degradation of a once wonderful company on so many levels....but then, TBH, that's happening across the board with many companies I have maintained 'relationships' with over the years.
I got membership through my Dad before he passed thinking it would be a great thing to have. I'm in the business and have always heard about what a great company USAA is. Can't tell you how shocked and let down I was after just trying to join. It's like they make it hard on purpose. I get security and protecting their brand, but man, it wore me out and I gave up.

I did get some quotes and they weren't great, but what bothered me is I couldn't get the sample policy to read...just a generic brochure. Sorry, not a fan of USAA.
 
Just got mine. My premium dropped $25.

However, I noticed they lowered the coverage of the home and contents a little. Not sure why. I never contacted them and haven't made any claims.

A year ago, they greatly reduced roof coverage for older roofs.
 
Well, my insurance company actually offered to renew my policy after all - with a premium increase of 40%. I guess I should be grateful.
 
We're in the planning process of selling dallas and moving to east of Austin/San Antonio. Intention is to build a 3/2 on acreage (for the cows) without a mortgage. House will have fire sprinklers and hurricane/tornado ties. I'm not going to have homeowners insurance (currently USAA for 45yrs). Between Texas homestead protections and all financials in roth/tira and no trespassing signs we will be protected from liability claims.
I'm anticipating our auto insurance will increase due to not having the homeowners Auto combined discount.

USAA was great many years ago. They've transitioned a profit center so I won't mind dropping them soon.
 
Last edited:
A few observations on this thread:

First, saying how much your premium has increased in dollars or percentage is meaningless without giving both the appraised value of your home and the state you're in. Insurance is regulated by each state and the rates vary wildly between states based on that state's regulatory environment.

Second, average premium cost comparisons by state are meaningless for your area unless you live in a tiny state and everyone's home is valued in a narrow range. The premium in Naples, FL or Miami, FL is going to be a whole lot more than the premium in Lake City, FL. The higher priced ones skew the numbers high and so does being closer to the coasts. Florida is about 66,000 square miles and it's about 400 miles by 150 miles in dimensions, excluding the panhandle width. There is a lot of climate difference in that state.

Third, scams to get a free roof from hail? We got a new roof that way. The insurance adjuster came out and she made the determination, not the roofing company. How does a scam work when the insurance company adjuster makes the determination of the coverage?

Fourth, scams by insurance companies like changing your deductible to a percentage if the storm is given a name? Yeah, that's Florida.

A lot depends on your home in your area. We have friends with a $450K second home in SW Florida but it's only three years old, and in an "X" flood plain. They're paying $2,300 a year for homeowners insurance but I do not know the specifics of their coverage. Yet their 27 year-old home that's worth about $300K in NE Ohio costs them a few hundred dollars a year less, also in an "X" flood plain.

New construction meeting the new codes removes a lot of the property risk.
 
Back
Top Bottom