Homeowners insurance is one of the most essential types of insurance that a homeowner can have. And, it may be more important than ever, as claims and repair costs continue to rise.
Prospective and current policyholders should be aware of recent economic patterns and relevant industry trends to better understand changes in their coverage or costs.
Although the cost of insurance may fluctuate for a number of reasons, the following are some factors currently influencing homeowners insurance across the country:
There is a shortage of tradespeople, and it has been difficult to attract new workers, which means there are not enough workers to meet construction demands. This can make the cost of rebuilding or repairing homes more.
The frequency and severity of weather-related incidents have put more pressure on available resources. As the number of claims and the associated repair costs rise, so too can insurance premiums.
The cost of building materials increased significantly due to supply chain issues during the COVID-19 pandemic, and prices are only now starting to ease. However, certain materials in parts of the country remain costly.
The housing market is driving up the cost and value of homes, making them more expensive to insure.
In response to rising home insurance premiums, policyholders should consider the following ways to save on their rates:
Home insurance is essential for protecting against devastating financial losses, and reducing coverage could result in paying for costly damage out of pocket.
Contact your agent to learn more about potential discounts and other ways to save on your home insurance premium costs. RMC Group offers free insurance reviews, call us today at 239-298-8210.
This article is intended for informational use only and should not be construed as legal advice. Talk to your insurance agent or legal counsel for more information. © 2023 Zywave, Inc. All rights reserved.