Home Insurance Rates Are On The Rise

A recent report from QuoteWizard revealed some alarming statistics surrounding home insurance and the effects climate change is having on those policies. QuoteWizard looked at the National Association of Insurance Commissioners (NAIC’S) 2007 home insurance data and compared it to 2016 for all 50 states to find the home insurance rate increases. The results are alarming, particular for homeowners.

Increases vary from state to state, but overall the data found in this report makes it clear that the growing frequency, and severity, of natural disasters is causing homeowners insurance rates to jump dramatically. In some cases, homeowners insurance rates jumped by as much as 88% over the last ten years.

One of the study’s key findings is that the risk is not at all equal between all 50 states. In fact, eleven out of the top fifteen states that have been affected by homeowners rate increases all reside in an area of the country known as “tornado alley.” The average homeowners rate increase for states in that area is 67%.

It is interesting to note that the western states (think Nevada, California, Alaska, Utah, Oregon, Arizona, Hawaii, Idaho, Washington) experienced the lowest average increase. The average rate hike for those states is only $167 dollars. That comes out to a 30% average increase.

It is also worth noting that while California and Florida had some of the lowest percent increases, they already had some of the highest rates. That means that while they are not rising as much as the rest of the country, they still lead the pack in terms of overall costs.

Natural disasters can strike without warning, and their devastation can not be overstated. While you can’t always avoid them, you can make sure that you are financially prepared for whatever may come with a proper homeowners insurance policy.

If you are interested in checking in on your current policy, or learning about your options for a new one, visit www.tgsinsurance.com. The TGS staff is always willing to work with you to find the perfect policy for your budget, and your lifestyle.

Sources:
https://www.prnewswire.com/news-releases/home-insurance-rates-have-risen-as-much-as-88-in-the-last-decade-quotewizard-study-finds-300835570.html

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