The Hidden Driver of Soaring Home Insurance Costs

Reinsurance and high cost of homeowners insurance

One leading, but little-discussed, cause of this coverage crunch: a big increase in the cost of reinsurance policies. Now all eyes are on a round of reinsurance renewals currently under way in Florida and elsewhere that will help determine whether more premium increases are in store for homeowners.  

P/C Industry 2023 Underwriting Performance Improved, but Personal Lines Continues to Drag

P&C underwriting performance improves except Person Lines

The U.S. property/casualty industry saw its second consecutive year of underwriting losses, with a net combined ratio of 101.6 for 2023. While improved relative to 2022, personal lines remained the major driver of unprofitability in 2023.

Homeowners Insurance Less Affordable for Consumers Over the Last 20 Years: IRC Study

Cost of home ownership is rising

Homeowners insurance affordability has deteriorated over the last two decades, driven by frequency and severity of natural disasters, economic conditions, rising construction costs and litigation, according to a new Homeowners Insurance Affordability report by the Insurance Research Council (IRC).

Pricier Insurance Makes Sense as Climate Risk Grows, Chubb CEO Says

climate change and higher insurance rates

Surging insurance premiums in regions vulnerable to climate change make sense, and government efforts to hold back those increases won’t work in the long term, Chubb Chief Executive Evan Greenberg said.

California Homeowners Insurance Crisis: Thousands to Lose Coverage as Two More Insurers Withdraw

Newsom to allow higher insurance rates

In filings with the California Department of Insurance, Tokio Marine America Insurance Company and Trans Pacific Insurance Company said they would both withdraw from the homeowners and personal umbrella insurance markets in California. Both are subsidiaries of Tokio Marine Holdings Inc., a Japanese company.