California homeowners: Has anyone successfully found new insurance after having claims in the last five years?
I recently received notice from Amica that they will be dropping my coverage in June because of two claims I filed in 2022 and 2023, both due to separate pipe bursts that they addressed.
To resolve ongoing issues, I paid out of pocket to repipe my entire house in 2024, and Amica was informed of this, yet they still chose to terminate my policy. I don’t live in a fire zone, which makes this even more frustrating.
I’ve reached out to multiple insurance companies, but they’ve all declined to offer coverage because of my past water damage claims, despite the fact that I have repiped my home.
I’ve also worked with two different independent insurance brokers, but neither was able to find a solid option. One broker did present me with a home policy that costs $18,000 per year, which doesn’t include auto and umbrella coverage. I was previously paying only $4,500 for everything.
If anyone has been in a similar situation and found insurance, please share your experiences. I’d like to avoid CFP and DIC if at all possible. Thank you!
It sounds like you’re in a frustrating situation with your homeowners insurance. Unfortunately, many insurance companies are quite wary of taking on properties with a history of water damage claims, even if you’ve made significant improvements like repiping your home.
Here are a few suggestions that might help you find coverage:
Appeal to Your Current Insurer: If possible, try reaching out to a supervisor or claims department at Amica to discuss your situation further. Sometimes, speaking with someone higher up can yield different results, especially given that you’ve made significant repairs.
Consider Specialized Insurers: Some companies specialize in hard-to-insure properties. Look for insurers that focus on high-risk homes or have policies tailored for homeowners with previous claims.
Explore State Programs: California may have state-backed insurance programs that provide coverage for homeowners who can’t find insurance in the private market. Programs like the California FAIR Plan might offer you some options.
Increase Your Deductible: Sometimes, increasing your deductible can lower your premium and make policies more appealing to insurers, even with prior claims.
Document Repairs and Maintenance: Ensure that you have detailed documentation of all the work you’ve done to address the issues. A proactive approach in maintaining your home can sometimes help in convincing insurers to take you on.
Network with Local Communities: Sometimes, sharing experiences on forums, like Nextdoor or local Facebook groups, can yield referrals to smaller, more flexible insurance companies that might be willing to cover you.
Consult a Public Adjuster: If you continue to struggle, a public adjuster can sometimes negotiate with insurance companies on your behalf or help you navigate complex situations.
It’s a tough market, but keep pushing forward. Good luck, and I hope you find the coverage you need!