With the Pandemic keeping many of us at home in 2020, more incidents and accidents occurred at home, and insurance companies paid more property and liability home insurance claims. COVID-19 also prevented many businesses from operating at full capacity, thus making supplies scarce and many businesses were not capable of keeping up with the demand.
Once such industry hit was lumber. The supply was not able to keep up with the demand and the prices increased dramatically; limits were placed on the number of items purchased. Because of these limitations and inflated prices, new and damaged homes are costing more to repair than years prior.
What does this mean for you?
The insurance industry is expecting changes in homeowner insurance rates starting this year as a result of claim experience from last year. While this could result in positive changes on your auto insurance--fewer cars on the roadway have led to fewer accidents and claims on auto policies--your home's reconstruction valuation and resulting insurance premiums may see an increase.
What can we do for you?
Contact us for an account review to make sure your insurance is keeping up with the times and to make sure you are getting the right protection at the right value.