The best home insurance companies of May 2022

What impact do you think climate change will have on home insurance?

With droughts, fires, floods and rising sea levels, insurance premiums will also increase. Insurance companies continue to assess the risk profile of consumers, the economy and the environment in relation to the products they offer. With the inevitable increases in home insurance premiums, consumers could be forced to pay higher prices for plans that actually offer less coverage. Worse still, consumers may even be let down by their insurer. Knowing that insurance is regulated by the state (for example, the Federal Insurance Office or the Dodd-Frank Wall Street Reform and Consumer Protection Act), if consumers face such difficult circumstances , they can contact their state’s Department of Insurance to find out if their insurance provider is breaking the law.

What can homeowners concerned about weather threats do to ensure they are covered?

If you’re buying a home, always consider the location and check if it’s in a fire, flood, or extreme weather zone. If you already own a home in a high-risk area, look for ways to reduce your risk and expense. For example, look for opportunities to waterproof your future home or your existing home. Also, when selecting an appropriate insurance policy, look for an insurer that gives price discounts for adding weather protection. Finally, many financial factors determine the price of insurance policies, so it is important to establish and maintain a good credit rating.

What should owners do if their policy is canceled due to a weather emergency?

Do not abandon ! Contact the insurance provider and ask for advice on what you might be able to change to get them to insure you again. If that fails, shop around as there are many mainstream and independent insurers offering different types of policies at a different price range. Also, talk to family and friends and ask which insurer they use, as these companies already have priority insuring homes in your particular area. Finally, if you are unable to find an insurance company to cover you, contact your state department. They may be able to offer a Fair Access to Insurance Requirements (FAIR) plan. But remember that these types of plans only cover the bare minimum.

Kristan F. Talley