Everyone likes to keep in a routine and have very little change, especially when it comes to finding new property insurance coverage. You feel secure knowing your home or business is covered. That old statement, “nothing lasts forever” certainly applies to this topic. One morning, I received a call from a client whose water damage claim I had been handling. She was in a panic after receiving a none renewal notice from her insurance carrier and thought it was due to her claim.
I promised her that it certainly could not be because of the claim as we were in the beginning stages of her claim and had not even settled the claim yet when she received the notice. She called her agent and the insurance company, kicking and screaming to the top of the ladder, and she was told that it had nothing to do with her claim. The carrier was no longer insuring properties for less than $500,000 nor were they writing anymore policies in her area.
There was nothing she could do but to try to secure a policy with a different insurance carrier. It was challenging due to all the “managed repair” policies flooding the market. She was concerned with price, but I helped her weed through a few different prospects. Since then, it has become increasingly difficult to secure insurance even with “well known” insurance companies because they have begun doing this as well and are trying to “limit their exposure”.
Limit their exposure? What they really mean is that they want to limit their losses and increase their profit. It’s really that simple! So, what does this mean to you? It means that you will have limited insurance companies writing policies, limited coverage, more managed repair policies and insurance rates will continue to rise.
It is important for you to do your due diligence and understand your insurance policy and the company insuring your property. I am confident you don’t want any surprises down the road if you have an insurance claim. We like to help and educate our client so you can make an informed decision.
When renewing your policy, please don’t assume it has the same coverage because many times, it changes upon renewal. If you are searching for a new insurance company, know the coverage and know the company insuring your home! If you have any questions, you can always call 561-288-6434 or contact us here.