How much of an increase are Bogleheads seeing for their homeowners insurance renewal?

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Ivygirl
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Re: How much of an increase are Bogleheads seeing for their homeowners insurance renewal?

Post by Ivygirl »

Increase of 10.8%, State Farm.
IMO
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Re: How much of an increase are Bogleheads seeing for their homeowners insurance renewal?

Post by IMO »

RickBoglehead wrote: Tue Jul 20, 2021 1:10 pm
IMO wrote: Tue Jul 20, 2021 1:04 pm
canderson wrote: Wed Jul 07, 2021 11:14 pm USAA - 25% increase. No claims, ever.

Live in Pennsylvania. They cited drastic rise in lumber for increase statewide.
So if lumber prices have dropped some now, you'll have to post in 1 year if USAA lowered your rate. Oh, but then it will be something else, like labor costs have now increased (be it the actual people who would rebuild your house, or be it people working for USAA). Or maybe it will be "our advertising costs have gone up 25%" since they seem to be pumping out TV ads left and right as if those eligible never knew they could sign up for USAA. :confused
In 2020, USAA spent $500 million on advertising. Geico spent $1 billion. AMICA spends under $100 million. :mrgreen:

For those complaining about increases and threatening to leave their companies, when you hear / read about a major disaster, like a hurricane, wildfires, flooding, etc., who do you think pays for all that? Answer - YOU DO, because insurance companies pay out the claims and then raise rates to cover costs. Texas freeze, where homeowners lost power and weren't smart enough to then shut off their water and drain their pipes at least to the lowest tap/toilet (assuming they were home)? No problem, we'll catch you next year!
Yeah every time there is a disaster, my response to the spouse is, "great, now are rates are going to go up to pay for all of this . . . " The roof replacement thing is another thing. Clark Howard on a podcast commented how it's one of the biggest insurance scams out there. For some reason insurers don't seem to question much why someone should get a brand new roof if there 25 yr old roof was damaged. I guess why do they care, they will just raise everyone else's rates to pay for those type of decisions.
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Tubes
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Re: How much of an increase are Bogleheads seeing for their homeowners insurance renewal?

Post by Tubes »

IMO wrote: Wed Jul 21, 2021 1:17 pm
RickBoglehead wrote: Tue Jul 20, 2021 1:10 pm
IMO wrote: Tue Jul 20, 2021 1:04 pm
canderson wrote: Wed Jul 07, 2021 11:14 pm USAA - 25% increase. No claims, ever.

Live in Pennsylvania. They cited drastic rise in lumber for increase statewide.
So if lumber prices have dropped some now, you'll have to post in 1 year if USAA lowered your rate. Oh, but then it will be something else, like labor costs have now increased (be it the actual people who would rebuild your house, or be it people working for USAA). Or maybe it will be "our advertising costs have gone up 25%" since they seem to be pumping out TV ads left and right as if those eligible never knew they could sign up for USAA. :confused
In 2020, USAA spent $500 million on advertising. Geico spent $1 billion. AMICA spends under $100 million. :mrgreen:

For those complaining about increases and threatening to leave their companies, when you hear / read about a major disaster, like a hurricane, wildfires, flooding, etc., who do you think pays for all that? Answer - YOU DO, because insurance companies pay out the claims and then raise rates to cover costs. Texas freeze, where homeowners lost power and weren't smart enough to then shut off their water and drain their pipes at least to the lowest tap/toilet (assuming they were home)? No problem, we'll catch you next year!
Yeah every time there is a disaster, my response to the spouse is, "great, now are rates are going to go up to pay for all of this . . . " The roof replacement thing is another thing. Clark Howard on a podcast commented how it's one of the biggest insurance scams out there. For some reason insurers don't seem to question much why someone should get a brand new roof if there 25 yr old roof was damaged. I guess why do they care, they will just raise everyone else's rates to pay for those type of decisions.
Right. I had to bite my tongue when discussing this with one neighbor who was hooting and hollering about his "free roof!" he just got. In order to keep the peace, I just just changed the subject instead of saying what I really wanted to say: "Thanks for raising my rates, buddy."
MikeG62
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Re: How much of an increase are Bogleheads seeing for their homeowners insurance renewal?

Post by MikeG62 »

A 1% increase.

It's been pretty steady for a number of years now.
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RickBoglehead
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Re: How much of an increase are Bogleheads seeing for their homeowners insurance renewal?

Post by RickBoglehead »

IMO wrote: Wed Jul 21, 2021 1:17 pm Yeah every time there is a disaster, my response to the spouse is, "great, now are rates are going to go up to pay for all of this . . . " The roof replacement thing is another thing. Clark Howard on a podcast commented how it's one of the biggest insurance scams out there. For some reason insurers don't seem to question much why someone should get a brand new roof if there 25 yr old roof was damaged. I guess why do they care, they will just raise everyone else's rates to pay for those type of decisions.
My mother had a roof leak when a hurricane passed offshore. She made a claim, USAA denied it saying that the leaking areas were in the valleys and that no maintenance had ever been done. Last I heard she hired a public adjuster, no idea of the outcome, no desire to know.
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EnjoyIt
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Re: How much of an increase are Bogleheads seeing for their homeowners insurance renewal?

Post by EnjoyIt »

About 2 years ago my policy went up almost 25%. So i shopped around and found another policy that was only 10% increase. They then went up another 25% and I shopped around again but unable to find something better. The new policy did an inspection and asked for a repair that I felt made no sense. So I shopped around one more time and found a policy that was 35% less. That is where I am now. BTW, it was the same company that I had before the increases started. Go figure.
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Tubes
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Re: How much of an increase are Bogleheads seeing for their homeowners insurance renewal?

Post by Tubes »

RickBoglehead wrote: Wed Jul 21, 2021 1:34 pm
IMO wrote: Wed Jul 21, 2021 1:17 pm Yeah every time there is a disaster, my response to the spouse is, "great, now are rates are going to go up to pay for all of this . . . " The roof replacement thing is another thing. Clark Howard on a podcast commented how it's one of the biggest insurance scams out there. For some reason insurers don't seem to question much why someone should get a brand new roof if there 25 yr old roof was damaged. I guess why do they care, they will just raise everyone else's rates to pay for those type of decisions.
My mother had a roof leak when a hurricane passed offshore. She made a claim, USAA denied it saying that the leaking areas were in the valleys and that no maintenance had ever been done. Last I heard she hired a public adjuster, no idea of the outcome, no desire to know.
We had pea sized hail last spring. Really, little to no effect. I know because I'm an avid gardener and I see the effect on my garden. Golf ball size, which can damage roofs (but not always) also shreds plants. Anyway, our tiny little event had no impact on my garden, even the large leafed cucumbers.

A week later, the crews came through in force. Some of these guys were really, really aggressive. I've never seen the roof-chasers be this agressive. It was crazy! One guy even put a ladder up on my house (without my permission) until I calmly ordered him down and told him to get off my property. Some neighbors agreed to quotes. Some were denied by their insurer. Others got "free roofs!". Nothing would be free for me with a $2500 deductible. Anyway, my conscience would not allow me to talk with these guys. I know my roof. It was not damaged, even if it is over 25 years old. My other neighbor agrees with me, so we are not all of the same mind on this roofing insurance madness.

While my "free roof!" neighbor got his roof, I went over to talk to their sales guy who happened to be there (I guess my conscience weakened a moment). I just wanted to discuss the process, and he was actually a pretty calm guy compared to some of the others, so we chatted. His heart sunk a bit when I mentioned my deductible. He started mentioning "deals" we could make whereby I would mention on social media and also keep a sign in my yard for a long time, and I'd get some sort of kick-back from him. If I agreed to go with him, I'd have to sign something to bind me to his company before proceeding. Then he also mentioned that he would need to be on the call with my insurance so he could coach me.

I mean, what the heck? No thanks.
magazinewriter
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Re: How much of an increase are Bogleheads seeing for their homeowners insurance renewal?

Post by magazinewriter »

Up $500 which is 17.85%. I’m in coastal Florida and have a townhouse. Ouch - but I’m glad my insurance wasn’t cancelled.
hmw
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Re: How much of an increase are Bogleheads seeing for their homeowners insurance renewal?

Post by hmw »

My homeowner insurance will be going up 42.5% if I stay with my current insurer. No claim with the current insurer. My last claim was 5 years ago for hail damage to the roof.

I am shopping for a better price.
quantAndHold
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Re: How much of an increase are Bogleheads seeing for their homeowners insurance renewal?

Post by quantAndHold »

15%, increased construction costs. But that brings it back up to where it was when we first bought the house in 1997. Our insurance has spent the past 24 years bouncing up and down randomly within the $12-1400 range.
Yes, I’m really that pedantic.
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