Homeowner Insurance and Inflation, Spring 2022

Whether you are checking out the news, managing your own business, paying at the pump or just wrapping up a trip to the grocery store, it’s obvious that inflation has risen to a level we haven’t seen in years.  The insurance industry and Homeowner insurance in particular are also impacted.

Your Homeowner policy tries to increase the Dwelling value of your home to keep pace with inflation.  As your agent we strive to to insure properties at 100% of their replacement costs.  In times of steep inflation this can be a challenge.  Some carriers are now increasing their keep-pace-with-inflation increases from 3% or 4%,  up to 8%.   We see cases where even this is not enough.  With a direct correlation between Dwelling value and annual premium- premiums are going up.

Please give us a call so that we can help with your next Homeowner renewal.  We can review your replacement cost and any updates to your home and help to maximize discounts for fire and burglar alarms or loss free discounts.  How would a higher deductible affect the annual premium?  We can let you know.  We’re all in this for the long haul, so please let us put our expertise to work for you and your family today.