Trending Insurance News

State Farm not allowing some Californians to renew home insurance beginning in July – KION546

State Farm not allowing some Californians to renew home insurance beginning in July – KION546

SANTA CRUZ, Calif. (KION-TV)- In March, State Farm announced they will be discontinuing home insurance coverage for certain homes and apartments in California.

Thousands of people living in Santa Cruz County are wondering where they could go for insurance.

Many people are concerned about the rising costs and risk.

Throughout the years, Santa Cruz County has experienced multiple wildfires. They’re also familiar with severe flooding. 

As a result, many home insurance carriers are deciding to drop customers with addresses in these types of landscapes.

“I feel like it’s really unfair most everybody have a mortgage and if you can’t get insurance, you’ll default on your mortgage,” Kate Klein who lives in Felton said. “They’re not leaving us anywhere to go and I keep hearing people having to go with the California fair plan and it’s costing them literally two, three or even $4,000 a month on top of their mortgage, and that’s just ridiculous.” 

In 2022, The California Department of Forestry and Fire Protection said that the Golden State experienced over 7,000 fires, which burned nearly 362,000 acres of land. 

“At the very most extreme they have to replace that coverage by this July but for most of them, it’s far later, many of them aren’t until next year,” Edan Cassidy who is the owner Cassidy Insurance Agency Owner and Broker said.

With the non-renewals starting in late July, many residents are panicking about how much time they may have left to decide on a new home insurance before it’s too late.

“Our recommendation for those customers who are being non-renewed not until next year is to stay with State Farm,” Kami Cady the personal lines manager of Cassidy Insurance Agency said. “When your renewal hits about 60 days prior to your renewal date that is the time you should start shopping.” 

Still, State Farm is looking into discontinuing coverage for 72,000 homes and apartments in California starting this summer. 

Source link

Exit mobile version