Turbulent Time for Personal Insurance
Sponsored Content by Century Risk Advisors
2020 has been a tumultuous year for the economy. And now that unsteadiness is hitting the property insurance market. For South Florida homeowners, this means bracing for a historic 30% to 40% increase in insurance rates.
After 10 years of steady costs, several factors are causing insurance rates to spike. According to experts, one of these is legal bills from lawsuits brought against insurance companies. Another is a nearly 30% rise in reinsurance rates (which insurance companies purchase to insure themselves), which is causing some companies to drop clients and raise their premiums. In fact, nearly 50 Florida insurance companies lost $454 million in the first half of the year.
Floridians are already feeling the pressure of higher premiums and should get ready to brace for more, especially as climate change increases the numbers of natural disasters, as seen in this year’s record-breaking hurricane season. Homeowners can also do their part to lower premiums, such as making property improvements that make them more appealing to insurance companies.
Also key to keeping higher premiums at bay is to look for a more affordable insurance. With the world in the midst of a pandemic and a record-setting hurricane season coming to a close, it’s important for Florida residents to know their options. One way to do this is look into privately owned companies with intimate knowledge of the Florida market such as Century Risk Advisors. Formed in 2013, the independent insurance agency provides insurance and risk management services, customizing programs to fit clients’ needs. Flexible and well connected with brokers and direct carriers, CRA has seen the market’s ebbs and flows since 1983, making the team the ideal advisors for all insurance matters.
Sources: Sun-Sentinel; Miami Herald; Miami Today