I know that I’ve written several times about the importance of reviewing your insurance portfolio the past few years, but there have been so many changes, especially here in California, that it’s imperative that those of in the industry continue to remind our customers and the public.
My agency recently celebrated our 33rd anniversary. I am proud to have represented Farmers Insurance for 33 years as an agency owner and over 36 years overall. The Farmers tagline, “We know a thing or two, because we’ve seen a thing or two” holds true, but I don’t think anybody has seen the craziness of the past couple of years. The fire insurance moratorium with several companies not writing home insurance, and those that are writing insurance have extremely strict underwriting rules. This goes for personal and commercial lines fire insurance in high fire line areas. Auto Insurance requiring 15-25 days holds on any new business prior to issuance, not to mention the added underwriting requirements that the majority of insurance carriers have required on said new business and renewals. Yes, I know that rates have gone up across the board in auto, home, and business insurance with most insurance companies, and some people are being non-renewed. Catastrophe losses, Fire-Line issues, and Inflation are the biggest culprits that are causing the majority of our issues in the insurance industry.
What can you do to offset some of these changes affecting you? First, if you have a trusted insurance advisor, contact him or her and set up a review. If your agent or broker is local, see if it’s possible to come to the office and have your advisor review your coverages to confirm that there are no coverage gaps and you’re receiving all the possible discounts. My agency gives our customers three options for reviews. The number one option is to come to the office and review your insurance portfolio in person. The number two option is a review via a zoom video call. Lastly, the third option is a telephone review call. Obviously, if you can make the time, the best option is coming into the office. This gives you the opportunity to not only review your insurance, but also visit the team that services and takes care of your insurance needs.
The insurance industry is predicted to have more rate and underwriting adjustments through the first half of 2024. Remember, the agency owners that represent the insurance carriers don’t have control over rate increases, cancellations, or the underwriting guidelines. Your agent is here to help educate, make sure that you have the best insurance coverage for your situation, manage your account with the carrier, and help counsel you with a claim when needed. We are here to help navigate you through this ever-changing insurance environment.
