How Often Should I Switch Home Insurance Companies?
Everyone has a different situation, but most homeowners should consider checking home insurance rates once every 3-5 years. There are unique situations where you may want to check your home insurance prices immediately:
- A substantial rate increase at renewal where your current carrier hiked your premium over 20%.
- A bad experience with an insurance claim or customer service with your current agent/carrier.
- The current carrier is not renewing your insurance coverage.
- Secret Bonus: You have a substantial claim that happened just over five years ago. After the five year mark, a claim falls off your insurance record and you might be eligible for new discounts! Discounts can also become available in your area, even if you personally never filed a claim. If a massive hurricane hit your neighborhood six years ago and many of your neighbors filed a claim, you could still find discounts by checking rates today.
Should I shop every renewal year?
Shopping every year is a bad idea as you are more likely to get stuck in a situation where you are harder to insure and end up paying far more for insurance in the long run. There is also a risk you do not pass your home inspection with your new insurance carrier. Not to mention, if you have claims, switching can often be more expensive than paying the slightly higher renewal offer. At times, too many claims make it difficult for your current carrier to renew. In that case, it's time to go shopping.
At your service,