Over the past few months there’s been an increase in homeowners policies not being renewed. This is because many insurance companies have steered clear of high risk areas. While many Californians struggle to find the right coverage, a large group of Floridians have to deal with nonrenewals amidst hurricane season.
Since hurricane and wildfire season is here, having the right coverage is more important than ever for your home’s safety. But what if your insurer refuses to renew your homeowners insurance policy? Here are some options if you find yourself in this situation.
What if Your Insurer Won’t Renew Your Homeowners Policy?
Be Aware of Your Rights
Note that your insurer is required to notify you at least a month before your coverage ends if you pay regularly and haven’t committed any fraud. However, you may have more time to choose a new policy if you live in Florida. They give you a 120-day notice before your policy is set to expire there.
If you think your insurer dropped you wrongfully, you have the right to prove your case. You may need to show that your home is not located in a high-risk area, or you’re making efforts to improve its safety, such as the removal of flammable shrubs or trees near your house.
Do Some Renovations
If your insurer hasn’t renewed the policy due to a failed inspection, consider making some renovations to maintain the coverage regardless of the area you live in. We say this because inspections help notify homeowners of problems such as leaky roofs or exposed wiring.
Look for Another Policy
You can look for other homeowners policies if your previous insurer is not an option anymore. You can seek the help of independent agents to find suitable insurance quotes for insurers near you. Mortgage lenders, real estate agents, and builders in your area can also help you find a better option.
Opt for State-Run Shared Market Policy
If finding the right coverage still seems like a daunting task, opt for a state-run shared market policy. Luckily, you may get fair access to several insurance policies, especially for high-risk homes.
However, keep in mind that most FAIR policies not only offer limited coverage, but are expensive compared to standard home policies from private insurers.
Summing Up
In a nutshell, you can opt for a couple of options if your insurer doesn’t renew your homeowners insurance policy. You can also contact the insurance commission in your state to help you find the best insurance company to cover your home.
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