Insurance company reduced my homeowners premium

[DwightFrye]

I live in the Southern California mountains, which as you might expect is a high fire danger zone. My home is only 5 years old.
Most insurance companies won't even write a homeowners policy for my zip code. I had to go with the California Fair Plan program just for the fire insurance coverage and another company for the balance of normal homeowners insurance. Last year my H.O. insurance tripled. I was talking to my agent the other day and he told me that I should see a reduction in my homeowners premium this year as the underwriters had miscalculated something last year. I of course asked if I would be seeing a refund or credit ? Nope.

It's tough in many high risk zones, rates are skyrocketing and many companies aren't writing new policies, they are only renewing for existing customers and at much higher rates. I'm thinking of moving back down to the coastal region.

 

[JohnnyG]

How long a roof is rated for is extremely subjective. It's like a 50,0000 mile tire. How many get the entire length of the miles? Roofs when they are pushing 20 years old are starting to get brittle. Not saying they will have issues-but they are more brittle than the day the roof was installed.

Subjective, to me means someone with expierience or knowledge would come out to inspect the roof. Then determine if it's in need of replacement. Just forcing someone to replace without inspection is something else altogether.

I could have easily called some local company (this policy keeps many of them in business) have them come out and do an inspection. Without question they would have found hail damage or some other covered damage. In which case I could have filed a claim.
I didn't choose to go that direction, but many do.

And like I've said on previous threads, insurers won't even write a policy here in FL if you have Solar Electric panels installed.

 

[alarmguy]

Thing that tickles me about insurance, is they charge also more because of a low credit rating.

Anyone have answers to that? I see no correlation between a driving record and credit rating. But I am just a dumb old man.

It's just statistics on where their claims come from. Absolutely that they see a correlation.

 

[alarmguy]

I have never file a claim in either house or cars. I also wish there was a catastrophic kind of insurance for house.

Let us say, I want to insure my house for a set price 100,000 dollars and would put a claim only if the house burns down or is total loss from a natural disaster. We do have medical plans that work in similar fashion.

The intent is not to replace the house, just removed the debris and sale or give away the lot back to city.

Wow great post. I have been searching and searching. I am surprised it is hard to find. They do exist though.
First off your house has to be paid in full.
Second there are always companies someplace that must offer what you want. Closest I can find right now is high deductible such as $25,000 deductible policies... but must be certain polices for the self insured.
This company seems to imply a 25k deductible at damages less than 100k ... I suspect it might be cheap.

High Value Homeowners Insurance Coverage | PURE Insurance

Explore our high value homeowners insurance policy for homes $1M+. We offer flexibility and customized coverage options to meet your home's needs.

www.pureinsurance.com

I think you could make many calls, do research I am sure they are around. I see comments up to $100,000 deductibles.

 

[2strokeNorthstar]

Geico and Progressive were the same for me.
I float around every two years.

Geico and Progressive are over $3k this year for me. I've been paying $1000-$1200 for 12 years

 

[2strokeNorthstar]

It's just statistics on where their claims come from. Absolutely that they see a correlation.

Never had them ask

 

[alarmguy]

Never had them ask

They never will, you and everyone else is part of their data profile

 

[2strokeNorthstar]

They never will, you and everyone else is part of their data profile

I wish it helped. I have 869 credit score last I checked. Doesn't mean much since I don't finance.

 

[Zee09]

Geico and Progressive are over $3k this year for me. I've been paying $1000-$1200 for 12 years

Progressive went up $1000 in one year. But nobody could even come close when I shopped around. The last few years have been crazy.

 

[alarmguy]

I wish it helped. I have 869 credit score last I checked. Doesn't mean much since I don't finance.

I hope that doesnt happen here. Every year they apply to raise rates more than 50%. This past year they wanted 70% the State always denies them but they still go up what they allow.
With your score, all I can say is if you're good with a computer. I shop every insurance company I can find on the internet for better rates. You may get lucky with a high score or just imagine if you had a low score. Your high rate may look cheap.
Also I never, in all my life (and its many decades long now) put a claim on Homeowners ins and never had a chargeable auto accident.

I feel I already pay to much at the new home $1,500. but I know reading what I do its not that much.

 

[2strokeNorthstar]

I hope that doesnt happen here. Every year they apply to raise rates more than 50%. This past year they wanted 70% the State always denies them but they still go up what they allow.
With your score, all I can say is if you're good with a computer. I shop every insurance company I can find on the internet for better rates. You may get lucky with a high score or just imagine if you had a low score. Your high rate may look cheap.
Also I never, in all my life (and its many decades long now) put a claim on Homeowners ins and never had a chargeable auto accident.

I feel I already pay to much at the new home $1,500. but I know reading what I do its not that much.

Believe me, I've been calling every company and local broker on the list provided by the state insurance commissioner

 

[BMWTurboDzl]

Wow. In southern California we are seeing a 200-300% increase for no good reason. House or maintenance doesn't matter

Wildfire risk. Premiums are set statewide.

 

[2strokeNorthstar]

Wildfire risk. Premiums are set statewide.

That seems to be the issue. Everyone else has to pay for the people who can afford to build in the hills.

 

[LazyDog]

Wow great post. I have been searching and searching. I am surprised it is hard to find. They do exist though.
First off your house has to be paid in full.
Second there are always companies someplace that must offer what you want. Closest I can find right now is high deductible such as $25,000 deductible policies... but must be certain polices for the self insured.
This company seems to imply a 25k deductible at damages less than 100k ... I suspect it might be cheap.

High Value Homeowners Insurance Coverage | PURE Insurance

Explore our high value homeowners insurance policy for homes $1M+. We offer flexibility and customized coverage options to meet your home's needs.

www.pureinsurance.com

I think you could make many calls, do research I am sure they are around. I see comments up to $100,000 deductibles.

Thanks for the info

 

[Nessism1]

Just as a data point...So Calif, 1250 sqft home, separate 3-car garage = $24k for new roof(s). And I struggled to get anyone to quote. Wound up using a guy that a contractor friend uses somewhat regularly. Can't say I'm impressed, though.

 

[Hermann]

My car insurance is going down another $20 after going down $80 6 months ago, That is after a $8,000 hail claim last September.

 

[alarmguy]

I wish it helped. I have 869 credit score last I checked. Doesn't mean much since I don't finance.

Unless of course your premium would be even higher than it already is without a high score. Meaning a neighbor could be higher.
Much higher and I would consider dropping it or finding a super high decidable or liability only if such a think exists. (just grabbing a straws here, I know it doesnt sound practical) More or less something in-between full insurance and self insurance if you can take on the risk.

 

[Hillbilly Deluxe]

Wow. In southern California we are seeing a 200-300% increase for no good reason. House or maintenance doesn't matter

Uhhhmmmmm, There's a reason.

 

[2strokeNorthstar]

Unless of course your premium would be even higher than it already is without a high score. Meaning a neighbor could be higher.
Much higher and I would consider dropping it or finding a super high decidable or liability only if such a think exists. (just grabbing a straws here, I know it doesnt sound practical) More or less something in-between full insurance and self insurance if you can take on the risk.

Surprisingly a high deductible doesn't reduce it that much. Going from $1000 to $5000 to even $10000 is only a few hundred dollar a year. I guess they are most worried about total losses and big payouts in CA.

 

[alarmguy]

Surprisingly a high deductible doesn't reduce it that much. Going from $1000 to $5000 to even $10000 is only a few hundred dollar a year. I guess they are most worried about total losses and big payouts in CA.

Yeah, it's much the same here too. I think anyplace there maybe a danger. Look at Florida and the coastal area of the Carolinas I am getting very concerned and we just moved here last year. So far so good but rates are getting higher than what I paid for our much larger past home a hundred miles inland. Still ok, but the stories of big increases are starting to come up, including companies pulling out.

Yet, I do not want to diminish what those in CA and Florida are going though. We currently are in much better shape but the increases they are looking for in my county is insane 70%, though they need approval and the state will not give them that but still over time, 10% a year will add up and that is pretty much what they are getting, though granted not like FL and CA.