Homeowner's insurance went up by 50%!!!

Huntsville, Alabama
General Landlording & Rental Properties
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Homeowner's insurance went up by 50%!!!

Kosh Vokter
Member since 2018 · 40 posts · 6 votes

i have a 1600 sq. ft SFH rental near Huntsville, AL. No insurance claims or issues in the past year or before.

Received home owners renewal notice and the annual premium went from $2400 to $3600 (50%!!!! increase) for the same $1000 deductible. It's with Liberty mutual but through Geico. I called Geico and they said it's inflation and other factors etc etc, no clear articulation of why it went by up so much. 

Are you seeing such increases as well, are there are insurance providers that I can shop for? I called few other national insurance providers when I purchased this property before and they said they don't cover Alabama and so went with Liberty Mutual through Geico. 

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Greg M.
Rental Property Investor · Los Angeles, CA · Member since 2017 · 2k+ posts · 5k+ votes
1y

Hopefully you misspoke and you have a LANDLORD policy on the property and not a homeowners. 

50% increases on policies is not uncommon right now. Be happy you weren't non-renewed. I'd consider moving the deductible to $2,500 or more. 

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  • Ravi Kognaq
    Member since 2025 · 3 posts · 1 vote
    1y

    same here in dallas region too. looks like new normal.

    0Reply
    • Aaron BreckenridgePro Member
      Technology · Dallas, TX · Member since 2022 · 498 posts · 314 votes
      1y

      @Ravi Kognaq +1 for Dallas. With American Strategic/Progressive and its gone up 68% in two years.

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  • Shawntay Mclean
    Member since 2020 · 5 posts · 5 votes
    1y

    Hi Kosh - I am going through the same issue on my SFH in Tampa. My property taxes also skyrocketed, so searching around for some other options.

    0Reply
  • Greg M.
    Rental Property Investor · Los Angeles, CA · Member since 2017 · 2k+ posts · 5k+ votes
    1y

    Hopefully you misspoke and you have a LANDLORD policy on the property and not a homeowners. 

    50% increases on policies is not uncommon right now. Be happy you weren't non-renewed. I'd consider moving the deductible to $2,500 or more. 

    3Reply
  • Denise SuppleeBusiness Member
    Realtor · Willow Grove, PA · Member since 2017 · 1k+ posts · 663 votes
    1y

    I help family manage a property in Florida. The insurance costs have gone up ridiculously. And it is owned by a senior who depends on that money to pay for living expenses. It is really sad. I have been looking and checking out insurance agents all over and prices not much better - frustrating to say the least!

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  • Blake Dirks
    Member since 2022 · 1 post · 0 votes
    1y

    Definitely shop around and make sure you raise your deductibles, I'm a licensed agent, i can help you out if needed.

    0Reply
  • Bruce Lynn
    Real Estate Broker · Coppell, TX · Member since 2011 · 5k+ posts · 4k+ votes
    1y
    Quote from @Kosh Vokter:

    i have a 1600 sq. ft SFH rental near Huntsville, AL. No insurance claims or issues in the past year or before.

    Get a broker to shop for you.  I had LM for years, but switched when they refused to meet with me in person to go over policies and recommendations.

    Typically in my experience you want to use a non-named company.  Ask if they are an independent broker.  They can shop for you and switch every year or two as needed to keep your rates lower.

    1Reply
  • Jorge VazquezBusiness Member
    Real Estate Broker · Tampa, FL · Member since 2017 · 1k+ posts · 700 votes
    1y

    Hey Kosh, yeah, this has been hitting everyone hard. In Florida, rates jumped because of fraud and lawsuits, but things are slowly improving with new laws cracking down on that mess. Alabama's seeing similar hikes due to reinsurance costs, inflation, and risk assessments. Best move? Talk to an independent broker who can shop around, raise your deductible to lower premiums, check your policy for unnecessary add-ons, and see if bundling with other insurance gets you a discount. It’s frustrating, but staying on top of it each year and adjusting where needed can help. Hope that helps!

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  • Michael S.
    Huntsville, AL · Member since 2018 · 579 posts · 864 votes
    1y

    Try raising your deductible to at least $5000 and then see what your rates look like.  Our policy isn't nearly that expensive, but with such a difference in deductible amounts, it's like comparing apples to oranges.

    Also, as @Greg M. noted, make sure your policy is the correct type.  You shouldn't have a home owners policy for a rental.  

    1Reply
  • Greg ParkerBusiness Member
    Realtor, Contractor, Property Manager · Montgomery AL and Kowaliga, AL · Member since 2017 · 670 posts · 536 votes
    1y

    Definetaly raise that deductible to 5 or 10k.  Be sure to have 1M liability.  You may be able to decrease the 1M on each house if you have a personal liability policy of 1M.

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  • Chris SeveneyBusiness Member
    Moderator
    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    1y
    Quote from @Kosh Vokter:

    i have a 1600 sq. ft SFH rental near Huntsville, AL. No insurance claims or issues in the past year or before.

    Received home owners renewal notice and the annual premium went from $2400 to $3600 (50%!!!! increase) for the same $1000 deductible. It's with Liberty mutual but through Geico. I called Geico and they said it's inflation and other factors etc etc, no clear articulation of why it went by up so much. 

    Are you seeing such increases as well, are there are insurance providers that I can shop for? I called few other national insurance providers when I purchased this property before and they said they don't cover Alabama and so went with Liberty Mutual through Geico. 


     This should not be a surprise as in every forum site and on the news there is talk about insurance skyrocketing across the country as well as property taxes. You will want to start to shop around for other insurance providers and see the best deal you can get. In many instances including car insurance with homeowners can also get you a discount. 

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  • Kosh Vokter
    OP
    Member since 2018 · 40 posts · 6 votes
    1y

    Thank you all, this was very helpful. 

    0Reply
  • Ying Tang
    Member since 2025 · 324 posts · 121 votes
    1y

    I was in a similar situation. But I was able to quote around and found a much better deal with another insurance company. I think it is their strategy to increase the premium at some point and hope you do not notice and continute to pay them the higher rate...

    0Reply
  • Alecia LovelessPro Member
    Member since 2019 · 3k+ posts · 2k+ votes
    1y

    @Kosh Vokter All of my insurance policies have gone up this much in the past 2 years. Not to mention the companies getting much more strict about what they will insure. I’m in an area that’s relatively immune to natural disasters.

    Unfortunately right now this seems to be the cost of doing business.

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