Things are changing for sure!

You can see the increase in costs on your end but what is contributing to it?

What is changing that you would have never thought?

How can we stop the madness?

What helps it?

Let's start with what is driving up the costs. Part of what is driving up the cost is the increased cost of claims. The cost of parts and construction materials has increased. The cost of labor has gone up. If companies are paying staff more, that is passed on to us consumers. Parts are also on backorder and the length of time to repair cars or homes is taking longer. Companies are having trouble finding people to work. Therefore, it takes longer to get repairs completed because the labor isn't there. The longer a car is getting repaired, the longer someone needs a rental car. It's a rippling effect.

Let's look at the medical side. When was the last time you received a medical bill and realized the cost of a Band-Aid? Okay, that may have been included and was thrown in there to see if you were still paying attention, but you get where I am going with this. Medical costs are rising.

When someone is injured in an accident, it costs more to make them better. People are getting injured on the job. Some appear to be finding ways to get injured on the job and to fight an injury costs an insurance company money. Sometimes they pay Worker's Compensation when it doesn't seem fair.

Think about home claims. Have you ever had a friend say something that made you uncomfortable about a claim they were going to file because you know it seemed wrong? That's called fraud and it is wrong. They can get in a lot of legal trouble and jail time if they are caught. The insurance company will likely cancel them and as an independent agent we can't find another company who will insure someone who has been cancelled by another insurance company for that reason. We can't lie on an application on behalf of someone either, and yes, we've been asked. We are asked to commit fraud often and people don't realize they are even asking us to do so. Often times it is out of innocence or misunderstanding, but we do what's right, ethical and lawful.

What crazy things are going on in the insurance industry that have never happened before? Some companies will not insure a new client if they are not willing to package a home and auto together. It's a flat-out no. If we don't put both pieces with the same company, we can't put you with them. It's getting crazy out there. One company will not insure your home if you have had Click here to read more . . .

So how can you stop the madness? Well, you can't stop prices from increasing due to many of the reasons out of your control but there are some things you can do to help. Learn how.

Lastly, when it comes to your renewals, call us if you need us to review your policy or see what options might exist to get your rate down. Some rate increases won't be as high, and eligibility may loosen up. We don't know what else will come but we are adapting as we learn of each change. The insurance industry has never seen anything like this before. We are hearing positivity from our companies that they expect things to loosen up in 2024.