It used to be common in the New Orleans market for homeowners to have a hard time getting proper coverage for their homes. Now, we’re seeing the same issue hit the Houston market.
I can tell you from experience, I’ve been getting calls from people saying their homeowners insurance rates have, in some cases, doubled. I don’t sell homeowners or auto insurance, but this problem often lands in my lap when folks are looking for financial advice.
So, what should you do if you get hit with a shocking renewal notice? Here’s what I’d recommend:
- Shop it around. Start getting quotes. Bundling your homeowners and auto policies can lead to some real savings.
- Review your coverage. Some people are actually overinsured. Take a good look at the standard coverages in your policy. Making the right adjustments can save you serious money.
- Don’t do anything drastic. Dropping coverage altogether is a mistake. Even if your home is paid off, losing one of your biggest assets could lead to financial Armageddon.
- Keep perspective. This will pass. New companies will enter the market because they want those higher premiums. Sometimes the best move is to pay for now and plan to make a change when the time is right.