Causes of Home Insurance Crisis
Wednesday, August 16th, 2023 Insurance Industry PropertyAcross the country, homeowners are facing heavier financial burdens when it comes to securing the coverage they need to protect their property and belongings. Rising homeowners insurance rates are making budgets tighter for millions of American households. And in certain parts of the U.S., the situation is rapidly approaching crisis mode (if it’s not already there).
In recent weeks, hundreds of thousands of policy holders in Florida and California were left scrambling to find new insurance coverage due to insurance providers pulling out of both states.
Farmers Insurance is the most recent insurer to stop offering coverage in Florida, joining dozens of others. Meanwhile, State Farm decided to stop writing new homeowners policies in California -- at least for the time being. Louisiana has lost at least 20 insurance companies in recent months due to either insolvency or withdrawal.
