AmGuard no longer offering CA Homeowner Insurance policies - any suggestions for alternatives?

[techrover]

Got letter from AmGuard (Berkshire Co.) that starting 8/21/23 they will no longer be writing any new homeowner/umbrella insurance policies in CA. My policy renewed in Jul so it will be good till Jul 2024.
I had moved from Ameriprise around 2 years back as Ameriprise doubled their premiums(after keeping them almost same for 10 years), and I was able to move to AmGuard for same premium before the increase.
From recent news, I gather that the homeowners insurance is getting problematic in few states now - Florida and now California. Anyone have suggestions for better carriers? I had no claim in 15 years except for one water leak incident 6 years back.

[BogleTaxPro]

Just because they aren't writing NEW policies doesn't mean they won't allow you to renew next July.

But considering the number of other companies that have announced that they won't write NEW policies you are going to find it hard to switch anyway as you'll be a new customer to those companies.

Your best bet is to sit tight for now, and if you ARE dropped next year then seek out an independent agent that can shop around for you.

[Hillview]

USAA so far

[techrover]

Just because they aren't writing NEW policies doesn't mean they won't allow you to renew next July.

But considering the number of other companies that have announced that they won't write NEW policies you are going to find it hard to switch anyway as you'll be a new customer to those companies.

Your best bet is to sit tight for now, and if you ARE dropped next year then seek out an independent agent that can shop around for you.

I should have clarified in my original post - I received notice of non-renewal couple days back and that is how I came to know about this. In the notice, they have mentioned reason - they are no longer writing policies after 8/21/23.

I was bit lucky to have this happen after renewal, so I have time to shop around.

[talzara]

Just because they aren't writing NEW policies doesn't mean they won't allow you to renew next July.

AmGUARD is withdrawing from the California homeowners insurance market. Berkshire Hathaway likes to have all of its insurance companies operate at a profit.

Got letter from AmGuard (Berkshire Co.) that starting 8/21/23 they will no longer be writing any new homeowner/umbrella insurance policies in CA. My policy renewed in Jul so it will be good till Jul 2024.

I should have clarified in my original post - I received notice of non-renewal couple days back and that is how I came to know about this. In the notice, they have mentioned reason - they are no longer writing policies after 8/21/23.

When a company stops writing, it only affects new policies. AmGUARD is withdrawing from the California homeowners insurance market. It has to stop writing first because if it didn't, then those policies would be in effect for another year. However, that is not why your policy cannot be renewed. It's because AmGUARD is withdrawing.

State Farm has also stopped writing homeowners insurance in California, but State Farm policies can still be renewed. However, policy transfers are no longer allowed.

[talzara]

Your best bet is to sit tight for now, and if you ARE dropped next year then seek out an independent agent that can shop around for you.

When carriers are withdrawing from an insurance market, it is better to shop early. If you sit tight for a year, it could be harder to find insurance. If you shop now, then you can shop again next year if the situation improves.

[talzara]

From recent news, I gather that the homeowners insurance is getting problematic in few states now - Florida and now California. Anyone have suggestions for better carriers? I had no claim in 15 years except for one water leak incident 6 years back.

When insurance companies are fleeing a state, you are less likely to be dropped by companies that cannot withdraw from the state.

Mercury General cannot withdraw because 80% of its homeowners business is in California. It would become a much smaller company if it withdrew from California. The two AAA clubs also have 60-70%, and Farmers has over 20%.

Farmers put in place a quota on new policies when State Farm stopped writing. They may not accept you, but if they do, then you're more likely to be allowed to stay. They can still drop you, but they're unlikely to drop everyone in California.

[talzara]

USAA so far

USAA requires a family member with a military affiliation. You can pass it down through more than one generation, but it's still not available to everyone.

If you qualify for USAA and have any wildfire risk, you should get a quote while it is still possible. You may be turned down in March 2024, when USAA plans to stop writing new policies for houses with wildfire risk scores above 1 on a scale of 1-32. The limit used to be 12-24 depending on county, so this is a withdrawal from areas with even a remote risk of wildfires. However, USAA will not be dropping policies, so you can be grandfathered in if you buy soon.

Starting in March 2024, four USAA companies plan to only sign new homeowners policies if the home in question has a wildfire risk score of 1 on a scale of 32, where a higher number signifies greater risk, according to the filing.

Previously, USAA had a different cutoff score for each county, but none of the scores were below 12.

https://sfstandard.com/2023/08/31/insur ... alifornia/

[techrover]

From recent news, I gather that the homeowners insurance is getting problematic in few states now - Florida and now California. Anyone have suggestions for better carriers? I had no claim in 15 years except for one water leak incident 6 years back.

When insurance companies are fleeing a state, you are less likely to be dropped by companies that cannot withdraw from the state.

Mercury General cannot withdraw because 80% of its homeowners business is in California. It would become a much smaller company if it withdrew from California. The two AAA clubs also have 60-70%, and Farmers has over 20%.

Farmers put in place a quota on new policies when State Farm stopped writing. They may not accept you, but if they do, then you're more likely to be allowed to stay. They can still drop you, but they're unlikely to drop everyone in California.

Thanks for the helpful insights - usually I have gone by lowest quote by financially stable companies, but never considered their geographical business foot-print. Will try them out.