Shannon Martin on LinkedIn: Homeowners Choose Minimal Insurance Due to Rising Rates — How Risky Is it?… (2024)

Drivers, beware of inflation's sneaky side effect — your auto insurance might not cut it anymore. As car insurance premiums surge, are your limits truly protecting you on the road? Just like our hard-earned dollars don't go as far as they used to, neither do the claim payouts from your insurance company. In particular, drivers with minimal coverage face a heightened financial risk in the face of inflation because their policies may not offer adequate protection against the rising costs associated with accidents, repairs, and medical care. According to the Insurance Information Institute, the average bodily injury payout in 2022 was $24,211 per accident. In my opinion, this puts drivers with limits of 25/50/25 dangerously close to exhausting their policy limits and leaving them open to costly out-of-pocket expenses. The cost of motor vehicle repairs is still 45.7% higher now than in February of 2020. We know vehicle labor costs are also still up, making me wonder if there is an increase in vehicles being deemed a "total loss" based more on labor costs instead of the car being truly inoperable. The trickle-down effect is that drivers could be forced into buying a new car and taking on new car loans sooner than planned and at a time when interest rates are still uncomfortably high. Read my latest #Bankrate article about sticky inflation's impact on car insurance and let me know your thoughts! Special thanks and shoutout to Sarah Foster and Tony Cotto for their incredible insights on this topic.#carinsurance #inflation #autoinsurance

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Hurricane season is here and the key message from #NOAA is "get prepared and stay prepared." Are you ready? If you live near the Gulf Coast and put off getting #floodinsurance, act now. While the NFIP has a 30-day waiting period, many private flood companies have a 5 to 7-day waiting period, and some might start immediately. Out of all the states boarding the Gulf, #Florida has passed the most property insurance laws in recent years to boost the home insurance market. Have lawmakers done enough? Read the latest updates in my Bankrate article about where the Florida home insurance market currently stands. #homeinsurance #hurricanseason2024

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🚗Calling all auto claims adjusters! 🚗I'm on the hunt for auto claims adjusters with diverse experiences to feature in an upcoming Bankrate article. Whether your expertise is in auto damage, PIP, catastrophic loss, or any other area, R.E. Fulton and I want to hear your unique stories and insights! Interested in helping readers understand the claims process or clear up any common misconceptions you wish you could tell policyholders? Let's connect! #AutoClaims #InsuranceAdjusters #IndustryInsights #AutoDamage #CatastrophicLoss #PIP #ClaimsAdjuster

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This hurricane season is predicted to bring 24 named storms and 11 hurricanes. Is #Florida ready?In 2022, Demotech, a financial rating company used by several carriers offering home insurance along the Gulf Coast, sent notices to 27 home insurance companies warning of potential downgrades in their financial stability ratings (FSR). These preliminary letters are standard practice and allow time for companies to gather additional information and have another review before a final rating is issued.However this time, Demotech was met with a media frenzy, nervous homeowners and panicking government officials demanding that Florida replace Demotech with another rating agency.Almost two years later, there has yet to be any word from the state about its $1.5 million plan to research other financial stability agencies. While Demotech has gained some new competition from Kroll Bond Rating Agency (KBRA), they remain strong and even continue to provide FSRs for new carriers entering the Florida home insurance market. Most companies that received preliminary letters from Demotech kept the same rating and only a handful were downgraded.So what changed?The possibility that so many insurance companies could face FSR downgrades may have been what prompted Florida legislatures to have the additional Special Session in December of 2022. This session resulted in sweeping changes to property insurance laws. The 2023 Legislative Session continued with seven new laws regarding property insurance and three more bills await the governor's approval from the 2024 session.It will take years to see how these changes will shift the insurance market. Several new home insurance companies are entering Florida this year, giving homeowners something they desperately — more options.You can read more about the state of Florida's home insurance market in my Bankrate article below. And if you live in a hurricane-prone area, get started on hurricane prep early this season and check your insurance policy for coverage gaps!https://lnkd.in/ggTvYu42#hurricaneseason #homeinsurance

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Dan Howie is #hiring. Know anyone who might be interested?

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