5 Urgent Insurance Insights 2024 You Need to Know!

Hey there, Insurance Talk readers! I’m Cheri Martinen, and I’m here with Rex Lesueur from Bancorp Insurance, your friendly local insurance agent in downtown La Pine, Oregon. We’re excited to share our take on what’s in store for the insurance world in 2024 and how it might impact you.

Let’s dive into the hot topic of rising costs for property insurance, especially when it comes to fire insurance. The West Coast is no stranger to challenges, and the increasing costs from events like wildfires are hitting homeowners hard. Insurance companies are getting all fancy with their fire scoring methods, making it tough for folks to snag affordable coverage. Brace yourselves for potential premium hikes—some providers might hit you with a 30% increase, while others go as high as 50%. It’s a wild ride out there, and we’ve noticed that sometimes sticking with your current plan, even with a higher premium, might be the best move.

Now, let’s talk about the ups and downs of buying and selling homes. The scarcity of accessible insurance is playing a major role in real estate, especially in areas like Deschutes County. Insurance availability is now a big player in real estate transactions, and we’ve got to be on our toes, understanding replacement costs and how they dance with property valuations.

Property Value vs Replacement Cost

Speaking of replacement costs, don’t let the market value fool you—it’s not a reliable indicator of what it’ll cost to rebuild. Understanding this is crucial to avoid being under-insured in case of a partial covered loss. We’re all about making sure you’re in the know, so check out more on the cost to rebuild your home. Learn more about the cost to rebuild your home.

Large Insurance Losses for Various Events:

While most everyone across the country is seeing an increase in rates, areas like Florida, Texas, Oregon and California face a particular set of coverage issues.  Florida with multiple hurricanes and massive flooding as a result.  Hailstorms reeked havoc on roofs across areas of Texas. California and Oregon have suffered an increased number of large wildfire losses in the past two years.

Insurance Journal reports “Despite the high cost of homes and the significant losses due to wildfires in California, homeowners’ insurance costs less there than the national average. This is primarily due to the rate increase limitations from Proposition 103 (passed in 1988). Several insurers are no longer writing in the state, noting loss ratios and regulatory burdens. Farmers and State Farm have left or limited writing business in 2023 and likely in 2024, resulting in a crisis as people cannot get any coverage.”

Insurance Insights 2024 for Increasing Cost of Insuring RVs:

Now, let’s hit the road and talk about the rising costs of insuring those beloved RVs. In 2024, RV owners, especially in places like Florida, might be in for a surprise as insurance costs are expected to climb. Flooding in RV parks is playing a starring role in this price hike, so it’s time for RV enthusiasts to carefully review their insurance options.

There are still opportunities for RV’ers to get quality insurance coverage for a decent price.  We’ve helped several full and part-time rv’ers in recent months. 

Insurance Insights 2024 for Auto Insurance Challenges:

Auto insurance isn’t getting off easy either. Claims are on the rise, and that’s contributing to higher costs. While Oregon is holding its ground as one of the more affordable states for auto insurance, drivers should buckle up for an anticipated 8 to 10% increase in the coming year. We’ve got some tips on how to save on your auto insurance, so be sure to check those out.

Learn our 12 Ways to Save on Your Auto Insurance.

Conclusion

In a nutshell, 2024 is throwing some challenges at the insurance industry—rising costs, coverage headaches, and losses from natural disasters. Homeowners, buyers, and sellers, it’s essential to stay on top of these changes and understand how they’re shaking up the real estate scene. Keep the conversation going with your insurance agents; it’s the key to navigating this ever-evolving insurance landscape.

Thanks a bunch for hanging out with us on Insurance Talk. For more content, find us on Facebook, Instagram, YouTube, LinkedIn, or Google. And if you’re in La Pine, OR, swing by www.bancorpinsurance.com to schedule a chat with one of our in-house agents. Stay in the loop and get ready for the exciting twists and turns in the insurance industry!

Bancorp’s insurance agents are available to provide you with a free review and consultation.  Contact Us – Bancorp Insurance Call 800-452-6826

Disclaimer: This content is provided for general information purposes and is not intended to be used in place of consultation with a certified tax professional or attorney.

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