California Homeowner’s Insurance Concerns

In today’s real estate market, buyers know that being pre-approved for financing can make all the difference when making an offer. Another factor for buyers to consider when buying a home is homeowner’s insurance now that only a handful of Insurance Companies are offering coverage in California. After having their offer accepted the norm for buyers had been to order inspections, review Title Company documentation, and Public Records, and then look into homeowner’s insurance. Today it’s inherent upon the buyer’s representation and the buyer to look into homeowner’s Insurance as soon as possible. Why the concern? Not only are there fewer insurance companies offering home insurance in California but home insurance has become more expensive.

It probably wouldn’t hurt to explore your home insurance options before making an offer. Call an Insurance Broker. Insurance Brokers are well aware of the situation and can help you navigate the new world of non-admitted insurers and other options.

Why is this happening? Experts say that the expensive wildfires of recent years are not the only reason to get and keep homeowner’s insurance has become more difficult. Other concerns are increasingly intense storms due to climate change. Technology advances, from aerial drone photos of properties to risk estimating algorithms and high insurance rates.

Will things ever get back to normal? Climate change is here to stay and along with it, increased catastrophic risk. There’s hope that the state government will be able to improve the situation by striking deals with mainstream insurers to get them back to writing more policies in California.

California Home Insurance Concerns 2023

Best Homeowner’s Insurance in California 2024 Source: Bankrate

Best Homeowner’s Insurance in California 2024 U.S. News and World Report