Why Americans Are Suddenly Losing Their Home Insurance

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Many homeowners in the U.S. are losing their home insurance policies. Major insurers like State Farm and Allstate are no longer offering new policies in California. State Farm attributes this to increased wildfire risk, inflation and other challenges in the region. Louisianan and Floridian homeowners are facing similar issues due to flood risk. Watch the video to learn more about why homeowners are receiving non-renewal notices and what that means for the U.S. real estate market.

Limited Home Insurance Options in California As Major Carriers Pull Back | Bankrate

Bankrate tracks the CA home insurance market as providers limit coverage.

www.bankrate.com

• Beginning in late 2022, four of California's largest insurers either completely paused or greatly limited new home insurance applications, destabilizing the insurance market.
• In July and August, smaller insurers AMGuard and Falls Lake filed withdrawals with the California Department of Insurance, indicating that they will drop policies at their renewal dates. Safeco also announced it would non-renew some California policies for some policyholders in San Francisco and the Bay Area.
• Insurers have pointed to current California insurance laws, increased wildfires and costly reinsurance premiums as their main reasons for the new coverage limitations.

 

[Geek Nasty]

Didn’t have time to watch but I’ve been following housing market videos. I guess Florida also has a big issue with fraudulent claims. One of the scams has to do with unnecessary roof repairs

 

[BigMoneyGrip]

Americans? You mean Floridians lmaoo

 

[Kyle C. Barker]

Didn’t have time to watch but I’ve been following housing market videos. I guess Florida also has a big issue with fraudulent claims. One of the scams has to do with unnecessary roof repairs

This is just my knee jerk reaction backed up by a news story I'm too lazy to look up right now, But weren't some of these home insurance companies in Florida rejecting applications for having roofs that were too old?

 

[#BOTHSIDES]

Damn. This is why we need government to step in

 

[Neuromancer]

Damn. This is why we need government to step in

That's communism

 

[Godless Socialist CEO]

This is just my knee jerk reaction backed up by a news story I'm too lazy to look up right now, But weren't some of these home insurance companies in Florida rejecting applications for having roofs that were too old?

Roofing is a big driver of the fraudulent claims. But having a government that lets the insurance industry write the policies then just lines their pockets with public money that the public gets no benefit from doesn’t help.

Conservatives are just grifters cosplaying as actual politicians

 

[Chrishaune]

They won't give you insurance because something might happen to your house if you live in a place that it's likely to happen ...

The game these companies are running.

They don't hide it.

Oh you live in a place with .5% chance of earthquake, no chance of hurricanes, not a tornado alley, no nearby water sources, no trees nearby,......Ok $1500/month.

Everything in the U.S. is a scam.

 

[MidwestD]

Not being able to get home owner's or renter's insurance is a scary thing. It's crazy how disaster
prone Florida and Cali have gotten, and the insurance fallout from it.

 

[Luke Cage]

insurance companies don't like insuring you if you actually gonna need to use it.

 

[WIA20XX]

State Farm Threatens to Abandon California If They Can't Raise Prices: 52% For Renters, 30% For Homeowners​

California's largest insurer, State Farm, recently notified California's Department of Insurance to allow them to hike home insurance rates for millions of residents, or they will drop coverage of many insured. The request comes amid the state's ongoing insurance crisis as coverage costs increase.

Several insurers, such as Allstate, Farmers Direct, and State Farm, have limited coverage or stopped conducting business entirely in the Golden State, citing the growing risks of climate disasters. In turn, over 50% of all Californians believe they have been affected by climbing property prices or dropped by their insurer in the last year. Applying with a new provider also becomes challenging, with few firms offering coverage.....

Damn.