With wildfires raging out of control due to a historic drought on the West Coast and incredible amounts of rain causing massive flooding along the East Coast, it’s no surprise that homeowner’s insurance rates are rising. If you own residential real estate in Atlanta, you’ve likely felt the sting of the rate hikes. However, it’s important to know that there are a variety of other factors that can cause your rates to increase.
Submitting a high number of claims within a certain period of time can cause you to face repercussions with your insurance company. Policy guidelines are becoming ever more stringent, meaning too many claims can trigger a non-renewal. If this happens, and you are forced to seek out a new insurance provider, you could wind up paying higher premiums. Be sure to check with your insurance representative to see if there is a limit to how many claims you can submit each year.
Deciding to install a sparkling new swimming pool complete with a slide or diving board seems like a fun investment, but it can also be an expensive one. Swimming pools are not automatically covered under a standard homeowner’s insurance policy, so be sure to check with your provider. You may be required to pay an additional premium to cover any possible accidents or problems that could occur in or around the pool.
Vacant land is generally covered by a standard homeowner’s insurance policy, but be aware that everyone’s definition of vacant is different. While you may consider any land that is not currently occupied to be vacant, your insurance company may not consider the land vacant if it has any type of fencing, hunting stands or even the remains of an old home on it. Be sure to check with your agent to determine how your property is viewed, as it may require an additional premium if it’s not truly vacant.
There are a variety of other factors that can affect your insurance rates. To learn more, read the full article, “Five Reasons Your Homeowner’s Insurance Rates May Rise,” on the Equifax Finance Blog.