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Are there any specific reasons or levers keeping these companies from charging much higher premiums? Just consumer willingness to pay?
I know State Farm and Allstate withdrew from California because they can’t hike premiums fast enough to cover the fire risk. Same thing here?
Visual Storyteller
Yes on California. There it’s wildfires; in FL it’s hurricanes. Supposedly some sort of “help” coming in October by way (in part) of laws reducing so-called “frivolous” lawsuits against insurers but it may be way too little, too late. (Also don’t know what “frivolous” means. I’m guessing it’s going to be “hey I have a policy that I’d like to use because a hurricane destroyed my house.”)
I’ll be curious to see what that market looks like a year from now with yet another hurricane season under the belt.
Visual Storyteller
Another thing I’ll say is that there is no industry with better risk modeling, and that adheres to those models more closely, than the insurance industry.
Coach
Meanwhile in MA my flood insurance went from $4k/year to $780/yr after the updated flood maps came out last year.
Luckily I renewed a few months ago, I’m dreading renewing next year at this rate.
I agree with BCG1
I mean the Florida coast is pretty much known to cost them a fortune every few years. Insurance to protect against something that’s guaranteed is naturally going to be expensive
Yeah mine doubled. But I shopped around and called several and got it down by like $800 which is something maaan cuz holy sh**. It’s getting pricey for sure.