What You Need to Know About Rising Homeowner Insurance Costs in California

The cost of homeowners insurance in California increased nearly 10% from 2021 to 2022. Although inflation is playing a role, there are also factors unique to California’s climate at play.

Here’s everything you need to know about rising home insurance costs in California:

What Are the Key Factors?

There’s a shortage of skilled workers and building materials in the construction industry, inflating overall property costs nationwide. In California specifically, we’re seeing hotter, dryer weather and increased wind patterns— the perfect combination for destructive wildfires that play a part in rising insurance rates.

Climate change has also increased the likelihood of flooding, storms and other costly natural catastrophes— if you’re in a disaster-prone area, you’ll likely see spikes in your insurance rates. The costs of additional policies to add coverage like flood insurance and earthquake insurance can seem overwhelming. That’s what NHC Insurance is here for. To educate you and show you rate comparisons so you can make the best decision for you and your household.

Cutting Costs for Homeowners Insurance in California

There are a number of steps you can take to decrease your insurance costs. Fire-proofing homes can help reduce premiums and make homes more desirable for an insurance company to insure. This can include installing fire-proof shingles, spray a retardant on your home, keep your home at least 250 feet clear of any brush and removal of any kindling or flammable items from your property.

With some providers, increased security can also help lower your premiums. A sophisticated sprinkler system as well as fire & burglar alarms can help cut costs by as much as 20%. Make sure you understand which measures will help you reduce prices with your specific insurance plan.

Working with South Bay Insurance Services

NHC’s California agency insurance services can play an essential role in providing optimal coverage for a minimum price. We have access to numerous highly-rated insurance providers, which means we can help create an insurance plan tailored to your individual needs and budget.

We work with companies like Safeco, Progressive, Travelers and other top-rated providers that can help reduce costs on your homeowners insurance in California.