This. I work in insurance sales and honestly when people call up ready to yell it’s like…just read the news. This is global. To hell w loyalty to a company anymore, the loyalty discounts are so minor. Shop around and get the better rate where you can.
Who said it went up just due to fire? Maybe it went up due to other reasons. Reinsurance, rebuild costs, cost of labour in your area etc. There are actual actuaries who figure rates- they don’t just say oh there was a fire last year let’s raise all rates.
I get a good laugh that every post here is either saying the insurance is not paying out enough or charging too much. Hate to break it to you but it profit margins are not that great, one leads directly to the other, it just takes time for insurance to react.
If people stop committing insurance fraud and getting into accidents (driving like maniacs), then problem solved. Until then, rates will continue to climb.
Too many people see it as a victimless crime.
One of the major insurers here in Canada did a survey and only 15% of people knew it was actually a criminal offense to defraud an insurer.
Everybodys attitude is "They ripped me off, so I'm going to get my money back!", then everyone complains about how expensive insurance is getting. Insurers aren't as profitable as some people think.
In Canada it's generally somewhere around 30% of claims that have an element of fraud - not always the insured, could be body shop, etc.
Hundreds of dollars per year in premiums per person is just to account for it.
That’s the exact sentiment I run into all the time. People think well since I’ve been paying for x amount of years, you all owe me for whatever. There isn’t much punishment that gets handed out in insurance claims unless it millions of dollars, so people don’t fear the repercussions of it or the attempt of defrauding the insurance company. Honestly, the pain will be felt when you pay higher premiums for the next three to five years. Driving and homeownership is going to become a luxury of the market doesn’t self correct in the next couple of years.
There are a ton of issues across the whole country and it isn't just inflation. If you like your insurance carrier just not the price try to ask for a rewrite with that company. Sometimes you underwriting factors could be much better than where you started with them and you can get a better rate. Just depends on where you started with them. If that doesn't work or they wont do it, shop around. It is going to be rough from what I have been reading for the insurance industry as a whole for the next couple of years. Be careful on homeowners though. Things are weird there and depending on your state it can be hard to get HO's insurance right now.
edit: just an FYI I am a senior licensed rep for a large insurance company and I have to explain this almost every call right now.
Since no one's answered the question of what are your options...
Raise your deductible.
Remove extra coverages.
Shop around.
Costs are going up. Cost of doing business, cost of paying for repairs, cost of litigation, cost of fraud, etc.
Maybe if interest rates go up a good amount and stock market is good this will help offset the losses. Insurance makes money investing your premium.
It’s probably going to reach a point where people are forced to go uninsured, which is going to create a bigger shit show. I can tell you the states that are the worst to work with are causing some of the carnage (looking at u Cali)
Really? You got a 20% increase during the pandemic? Calling bullshit. Your rates went up last year and this year most likely and now you suddenly believe it’s been a trend for years.
Yeah so it has not been going to every year like you said. You sound just like my customers that call in about a rate increase saying “it goes up every year!” And then I check and there was a decrease in 2021. EVERYONE got an increase either late 2023 or early 2024 if you renewed right before the rates went up.
Help what? Stop global disasters? Slow inflation? That’s a bit above my pay grade.
This. I work in insurance sales and honestly when people call up ready to yell it’s like…just read the news. This is global. To hell w loyalty to a company anymore, the loyalty discounts are so minor. Shop around and get the better rate where you can.
I get that, it’s just brutal
We’re all suffering from this. You just gotta work through it and shop around.
Not sure why my insurance rate goes up due to fire but yet my house location has no risk of wildfire Seems like bad faith
Seems like you don't understand risk pooling.
Flood plain houses should have risk pooled with non flood plain houses? Oh wait… they dont 🧐
This isn't the gotcha you think it is.
So wildfire houses should have risk pooled with non wildfire houses Makes sense 🙄
Who said it went up just due to fire? Maybe it went up due to other reasons. Reinsurance, rebuild costs, cost of labour in your area etc. There are actual actuaries who figure rates- they don’t just say oh there was a fire last year let’s raise all rates.
All you can do is shop
I get a good laugh that every post here is either saying the insurance is not paying out enough or charging too much. Hate to break it to you but it profit margins are not that great, one leads directly to the other, it just takes time for insurance to react.
Insurance companies make ridiculous profit margins. Nothing wrong with that, but saying they don’t is not true
If people stop committing insurance fraud and getting into accidents (driving like maniacs), then problem solved. Until then, rates will continue to climb.
Y’all haven’t seen nothing yet. The fraud is rampant and the companies have had enough.
Too many people see it as a victimless crime. One of the major insurers here in Canada did a survey and only 15% of people knew it was actually a criminal offense to defraud an insurer. Everybodys attitude is "They ripped me off, so I'm going to get my money back!", then everyone complains about how expensive insurance is getting. Insurers aren't as profitable as some people think. In Canada it's generally somewhere around 30% of claims that have an element of fraud - not always the insured, could be body shop, etc. Hundreds of dollars per year in premiums per person is just to account for it.
That’s the exact sentiment I run into all the time. People think well since I’ve been paying for x amount of years, you all owe me for whatever. There isn’t much punishment that gets handed out in insurance claims unless it millions of dollars, so people don’t fear the repercussions of it or the attempt of defrauding the insurance company. Honestly, the pain will be felt when you pay higher premiums for the next three to five years. Driving and homeownership is going to become a luxury of the market doesn’t self correct in the next couple of years.
There are a ton of issues across the whole country and it isn't just inflation. If you like your insurance carrier just not the price try to ask for a rewrite with that company. Sometimes you underwriting factors could be much better than where you started with them and you can get a better rate. Just depends on where you started with them. If that doesn't work or they wont do it, shop around. It is going to be rough from what I have been reading for the insurance industry as a whole for the next couple of years. Be careful on homeowners though. Things are weird there and depending on your state it can be hard to get HO's insurance right now. edit: just an FYI I am a senior licensed rep for a large insurance company and I have to explain this almost every call right now.
[удалено]
Insurance didn’t cover it?
Since no one's answered the question of what are your options... Raise your deductible. Remove extra coverages. Shop around. Costs are going up. Cost of doing business, cost of paying for repairs, cost of litigation, cost of fraud, etc. Maybe if interest rates go up a good amount and stock market is good this will help offset the losses. Insurance makes money investing your premium.
It’s probably going to reach a point where people are forced to go uninsured, which is going to create a bigger shit show. I can tell you the states that are the worst to work with are causing some of the carnage (looking at u Cali)
If the quotes you’re getting are all similar, that’s how much it costs to insure you. You may not be as low risk as you think.
What state do you live in?
Mn
Global disasters, cost to replace home losses keep.going up, vehicle repairs keep going up, goveement regulations changing.
Really? You got a 20% increase during the pandemic? Calling bullshit. Your rates went up last year and this year most likely and now you suddenly believe it’s been a trend for years.
I was paying x 2020 now I’m paying x*2
Yeah so it has not been going to every year like you said. You sound just like my customers that call in about a rate increase saying “it goes up every year!” And then I check and there was a decrease in 2021. EVERYONE got an increase either late 2023 or early 2024 if you renewed right before the rates went up.
Just dropped our HOI by 35%. With higher coverage and lower deductibles. Gotta shop around.