Homeowners Insurance Premiums

Living here on the gulf coast aka Hurricane Ally, one has to expect high homeowners insurance due to the number of hurricanes since 2004 starting with Hurricane Ivan and the following year disasters of Katrina and company. Some people sold their homes because they could not afford the high cost of Homeowners insurance. In some cases, State Farm, Allstate and other insurers have stopped writing policies to people who live within a certain range of the gulf waters.

When I bought my home, in June of 2005, my annual insurance premium was slightly over $800.00. I got my latest declarations page a couple of weeks ago to find out my annual premium had gone up to the staggering amount of $2500. I just couldn't take anymore. I wasn't optimistic of finding anything lower in these difficult times. But, I checked around anyway. Long story short, I found a nationally respected insurance company that offered me the same level of insurance at just slightly less than half of that $2500 annual premium of my (then) homeowners insurer. I jumped on that offer with both feet.

So, then I tried to call the national toll free line to cancel my homeowners policy. I got the "all our customer representatives are busy at present. Your call is very important to us. Please hold on to the line and someone will assist you shortly." After 15 minutes of holding, I quit. So, I did the one thing I dreaded; I called my insurance agent to give her the bad news. I remembered her reaction two years ago when I canceled my car and truck insurance with her company. She took it personally. I expected her to do the same thing time. And, of course, she did not disappoint me. She said I should have let her know that I needed to get my premium down and she would work with me. I asked her just how much could she bring my annual premium down from the $2500 annual premium. She said, "Oh, I'm sure I could get it down perhaps $200, maybe $250. I told her I had gotten insurance that was almost $1200 less than the $2500 her insurance company was charging me. Then she went on about how her company offers so much more for the money, blah, blah. I then asked her one simple question; "If you had a chance to save $1200 on your homeowners insurance, wouldn't you take it?" She told me she had to go and hung up.

Well, regardless, I found out that even in these difficult economic times, you can find deals to save yourself money. You just have to be patient and keep trying. Every dollar you can save counts. I daresay even insurance agents will jump at the chance to save a couple of dollars. Or, in my cast, about $1200.


It's amazing what you can do if you take some initiative! Saving 50% is a wonderful achievement. Good for you.

Jan, it is amazing what you can do when you "get mad and not going to take it anymore." :) I just could not take $2500 annual insurance premiums any longer. It was either find a new insurer, with a significantly cheaper rate or sell the house...yeah, right! :) Thanks for commenting.

Hey David,
I don't blame you one bit for shopping around when it comes to renewals. I did the same with my bike insurance and saved $80. You know good and well that your agent would do the same as you. It's not like you owed them anything, right? I did the same thing when I was trying to find the right network marketing niche and it has paid big dividends for me.

Friends 4 Life!

Great info... I also live in a hurricane prone state - Florida. I moved here in 2004. I made it in time for all the hurricanes.

I also am shopping for new insurance, as I not have State Farm. Thanks for the info. Keep up the good work.

Hi Eddie! Good to see you again! Yeah, the agent probably has had a lot of cancellations. My former homeowners insurer has gone up on everyone here on the gulf coast. It's not her fault. but, she is the one who has to suffer the consequences of the decisions of this mega-insurance company. I do blame her for not understanding that I have to do what is best for me. Thanks for coming by and don't be a stranger!

Oscar, you have my deepest sympathy living there in that hurricane magnet otherwise known as the state of Florida. As bad as we have things, you guys get it a lot worse. Best of luck to you in finding a cheaper insurer and in the upcoming hurricane season...a season I could do without. Thanks for commenting and come back sometime.

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