State Farm - Letter Received today

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RMO87
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State Farm - Letter Received today

Post by RMO87 » Sat Dec 30, 2017 2:11 pm

Interesting, I just opened a letter from my State Farm agent that "in about 30 days, you'll receive a new Homeowners policy. Your current policy will no longer be available. Information will arrive in two separate envelopes. Getting a new Homeowners policy won't affect any of your discounts. The changes in the new policy will be described in the Important Notice you'll receive with it."

Has anyone else received a letter like this from State Farm recently? I wonder what might be causing them to re-do the policy? We've had homeowners with State Farm for 17 years (10 years on this property), even longer with our vehicles.

Ryan

mhalley
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Re: State Farm - Letter Received today

Post by mhalley » Sat Dec 30, 2017 2:27 pm

Are you in an area prone to hurricanes, earthquakes or other natural disasters? Has your state legislature passed some kind of law making a change to your current policy mandatory?
Last edited by mhalley on Sat Dec 30, 2017 2:30 pm, edited 1 time in total.

livesoft
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Re: State Farm - Letter Received today

Post by livesoft » Sat Dec 30, 2017 2:29 pm

Doesn't this happen yearly for you? Certainly, you have to at least renew your policy every year, right? Sometimes state law changes which requires changes to policies.
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dm200
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Re: State Farm - Letter Received today

Post by dm200 » Sat Dec 30, 2017 2:33 pm

RMO87 wrote:
Sat Dec 30, 2017 2:11 pm
Interesting, I just opened a letter from my State Farm agent that "in about 30 days, you'll receive a new Homeowners policy. Your current policy will no longer be available. Information will arrive in two separate envelopes. Getting a new Homeowners policy won't affect any of your discounts. The changes in the new policy will be described in the Important Notice you'll receive with it."
Has anyone else received a letter like this from State Farm recently? I wonder what might be causing them to re-do the policy? We've had homeowners with State Farm for 17 years (10 years on this property), even longer with our vehicles.
Ryan
Never received anything like that - have had homeowners with State Farm for almost 40 years.

My guess is that the new policy may be required by state law/regulations. Make sure to read the new policy and the document describing the changes. I would also suggest a discussion with State Farm agent to review your coverage and if anything should (or be desired by you) be changed, such as deductibles, options you no longer need/want or valuation/insured value of your home.

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Doom&Gloom
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Re: State Farm - Letter Received today

Post by Doom&Gloom » Sat Dec 30, 2017 3:17 pm

dm200 wrote:
Sat Dec 30, 2017 2:33 pm
RMO87 wrote:
Sat Dec 30, 2017 2:11 pm
Interesting, I just opened a letter from my State Farm agent that "in about 30 days, you'll receive a new Homeowners policy. Your current policy will no longer be available. Information will arrive in two separate envelopes. Getting a new Homeowners policy won't affect any of your discounts. The changes in the new policy will be described in the Important Notice you'll receive with it."
Has anyone else received a letter like this from State Farm recently? I wonder what might be causing them to re-do the policy? We've had homeowners with State Farm for 17 years (10 years on this property), even longer with our vehicles.
Ryan
Never received anything like that - have had homeowners with State Farm for almost 40 years.

My guess is that the new policy may be required by state law/regulations. Make sure to read the new policy and the document describing the changes. I would also suggest a discussion with State Farm agent to review your coverage and if anything should (or be desired by you) be changed, such as deductibles, options you no longer need/want or valuation/insured value of your home.
I got something similar a couple of months back. The changes seemed to be mostly clarifications of the "fine print." IIRC the most detailed were regarding wind and water damage. Southeastern US FWIW.

metalworking
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Re: State Farm - Letter Received today

Post by metalworking » Sat Dec 30, 2017 3:24 pm

If you are in a hail prone area look at your new hail damage deductible. That's what changed for us

RMO87
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Re: State Farm - Letter Received today

Post by RMO87 » Sat Dec 30, 2017 5:35 pm

I am in Missouri, so no hurricanes. I have never received such a letter before. Hail, as someone mentioned, could be it. I've seen quite a few people in my area get new roofs after a storm. I sent a quick email to my agent, so I should hear back next week, and I'll report what I discover.

Colorado13
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Re: State Farm - Letter Received today

Post by Colorado13 » Sat Dec 30, 2017 8:17 pm

I received one of these letters a couple of weeks ago. My new policy arrived and the biggest change that I noticed is that the deductible has increased from $1,000 to $1,187. FYI, I live in/near areas that have been devastated by hail in recent years.

quantAndHold
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Re: State Farm - Letter Received today

Post by quantAndHold » Sat Dec 30, 2017 8:26 pm

The last change I got like that was that my deductible is now indexed to inflation. State Farm in California.

carolinaman
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Re: State Farm - Letter Received today

Post by carolinaman » Sun Dec 31, 2017 6:58 am

RMO87 wrote:
Sat Dec 30, 2017 2:11 pm
Interesting, I just opened a letter from my State Farm agent that "in about 30 days, you'll receive a new Homeowners policy. Your current policy will no longer be available. Information will arrive in two separate envelopes. Getting a new Homeowners policy won't affect any of your discounts. The changes in the new policy will be described in the Important Notice you'll receive with it."

Has anyone else received a letter like this from State Farm recently? I wonder what might be causing them to re-do the policy? We've had homeowners with State Farm for 17 years (10 years on this property), even longer with our vehicles.

Ryan
Call your agent and ask him what the changes are.

talzara
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Re: State Farm - Letter Received today

Post by talzara » Sun Dec 31, 2017 12:19 pm

RMO87 wrote:
Sat Dec 30, 2017 2:11 pm
Interesting, I just opened a letter from my State Farm agent that "in about 30 days, you'll receive a new Homeowners policy. Your current policy will no longer be available. Information will arrive in two separate envelopes. Getting a new Homeowners policy won't affect any of your discounts. The changes in the new policy will be described in the Important Notice you'll receive with it."

Has anyone else received a letter like this from State Farm recently? I wonder what might be causing them to re-do the policy? We've had homeowners with State Farm for 17 years (10 years on this property), even longer with our vehicles.
State Farm is still using a policy that was originally written in 1975. It's been updated a few times, but it's a lot more generous than the standard homeowners policy.

For example, State Farm covers Additional Living Expense for two years with no dollar limit. Other insurance companies pay for two years up to 10-40% of Coverage A. State Farm has added a 40% limit to their new policy. They're still one of the most generous companies, but they're no longer exposed to unlimited losses.

Another example is that liability coverage will no longer defend you against a sexual harassment lawsuit. Other insurers started putting in a sexual harassment exclusion in the 1990s.

I don't know why State Farm is rolling out a new policy now, but it was long overdue. None of its major competitors is still using a policy from the 1970s.

RMO87
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Re: State Farm - Letter Received today

Post by RMO87 » Tue Jan 02, 2018 9:08 pm

I received the following response from my agent regarding my inquiry:

The changes affect all policy holders.
State Farm has not changed the terms and conditions of their homeowner policy for the last ten years so they are now “modernizing” the policy.
Plus they are offering some optional coverage and also adding some broadening endorsements to current coverage.

brobinson70
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Re: State Farm - Letter Received today

Post by brobinson70 » Fri Feb 16, 2018 9:59 am

Like most policy holders, I too was curious as to why the need for the "new" policy. I just received an "Important Notice Regarding Your New Homeowners Policy" and, given the number of changes cited in this book of a disclosure, it's evident that there was a need to rewrite the whole policy. Here's one that can't help but make me laugh...

Jewelry and Furs- Language has been revised to provide that loss consisting of or directly and immediately caused by all animals, birds, or insects is excluded. This exclusion includes nesting; infestation; gnawing; feeding; breeding; or discharge or release of waste products or secretions. An exception to this exclusion is for loss caused by wild bears or deer.


I guess I’m covered for my next backpacking trip, just in case a wild bear or deer ransacks my tent while I’m hiking and makes off with my fur coat. I thought this was hilarious, since it related to jewelry and furs…but the sad thing is, somewhere along the way, someone had to have made a case for justifying a wild bear or deer damaging their jewelry or fur.

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dm200
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Re: State Farm - Letter Received today

Post by dm200 » Fri Feb 16, 2018 12:54 pm

brobinson70 wrote:
Fri Feb 16, 2018 9:59 am
Like most policy holders, I too was curious as to why the need for the "new" policy. I just received an "Important Notice Regarding Your New Homeowners Policy" and, given the number of changes cited in this book of a disclosure, it's evident that there was a need to rewrite the whole policy. Here's one that can't help but make me laugh...

Jewelry and Furs- Language has been revised to provide that loss consisting of or directly and immediately caused by all animals, birds, or insects is excluded. This exclusion includes nesting; infestation; gnawing; feeding; breeding; or discharge or release of waste products or secretions. An exception to this exclusion is for loss caused by wild bears or deer.

I guess I’m covered for my next backpacking trip, just in case a wild bear or deer ransacks my tent while I’m hiking and makes off with my fur coat. I thought this was hilarious, since it related to jewelry and furs…but the sad thing is, somewhere along the way, someone had to have made a case for justifying a wild bear or deer damaging their jewelry or fur.
Good to know for us as well. :confused We do not have any fur coars at all. It would be interesting to know the reason(s) about wild bears or deer. My guess is that there might be some "hunter friendly" laws, regulations, etc. in some states that relate to this.

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FrugalInvestor
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Re: State Farm - Letter Received today

Post by FrugalInvestor » Fri Feb 16, 2018 1:03 pm

dm200 wrote:
Sat Dec 30, 2017 2:33 pm
Never received anything like that - have had homeowners with State Farm for almost 40 years.
+1 It must be related to your location. Insurance is regulated and sold state-by-state so changes, prices, coverages, etc. often aren't comparable.
IGNORE the noise! | Our life is frittered away by detail... simplify, simplify. - Henry David Thoreau

mouses
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Re: State Farm - Letter Received today

Post by mouses » Fri Feb 16, 2018 9:33 pm

brobinson70 wrote:
Fri Feb 16, 2018 9:59 am
Like most policy holders, I too was curious as to why the need for the "new" policy. I just received an "Important Notice Regarding Your New Homeowners Policy" and, given the number of changes cited in this book of a disclosure, it's evident that there was a need to rewrite the whole policy. Here's one that can't help but make me laugh...

Jewelry and Furs- Language has been revised to provide that loss consisting of or directly and immediately caused by all animals, birds, or insects is excluded. This exclusion includes nesting; infestation; gnawing; feeding; breeding; or discharge or release of waste products or secretions. An exception to this exclusion is for loss caused by wild bears or deer.


I guess I’m covered for my next backpacking trip, just in case a wild bear or deer ransacks my tent while I’m hiking and makes off with my fur coat. I thought this was hilarious, since it related to jewelry and furs…but the sad thing is, somewhere along the way, someone had to have made a case for justifying a wild bear or deer damaging their jewelry or fur.
Domesticated bears are apparently okay.

I can't imagine how any of that applies to jewelry, but I see what they're thinking. They're excluding things setting up housekeeping in the furs because they aren't stored properly vs. a bear breaking into a house and ransacking it. No joke, I have friends who live in wooded areas who send me photos of bears on their deck. Deer on the other hand...I am not familiar with deer breaking into houses.

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