Why did my Florida homeowner’s insurance premium increase when I had no claims?

Why did my Florida homeowner’s insurance premium increase when I had no claims?

Florida homeowner’s insurance premiums may go up periodically. Even if you have had no claims, the premium might still go up year after year. It’s important understand why they go up so that you can determine whether it’s time to get quotes from another insurance company.

Your Area Could Have Issues

The area you live in, such as Vero Beach, could have experienced a lot of issues. If you didn’t file a claim because your home with great, that’s a good thing. However, if the area itself had issues, your insurance company may choose to increase premiums because of the likelihood that you might not get so lucky the next time.

Insurance companies are constantly looking at risk. The higher the risk, the more likely the insurance premiums are going to increase for everyone in the area. What this means is that if your area is identified as high risk, your insurance premiums will go up whether you have had claims or not. In such a case, changing insurance companies is not likely to affect your premiums too dramatically.

Laws Have Changed

The Florida Insurance Commission may have made some changes that have affected how insurance calculations are made. They may have also adjusted what coverage insurance companies are required to provide. As such, this might impact what they have to spend for all insured people.

While it doesn’t seem fair that you are paying more without filing any claims, there might not be anything that the insurance company can do for you. The insurance for everyone will go up when there are changes with the law. You can review changes on the insurance commission website or ask your insurance company or agent about any recent changes with the law.

Your Insurance Company Took a Hit

There is also the possibility that your insurance company took a hit after recent events. For example, if your insurance company insured a large number of people in Miami or Naples who were affected by the hurricanes, they will be spending a lot of money to pay out the claims. As a result, the insurance company is going to make this up by increasing premiums for people across the board.

When such a thing happens, it might be advantageous to get quotes from other insurance companies. If another insurance company wasn’t hit quite as hard due to recent events, they might not be looking to increase the cost of premiums to all of their insured homeowners. It might save you a little bit of money on an annual basis.

The good news is that you can always control who you get your home insurance from. If you don’t like the premium you are paying, you can ask an agent to get quotes on your behalf. They will look to see if there are better premiums from another insurance company that offers Florida homeowners insurance.