CT Home Insurance Claim – it is worth it?
CT - Home Insurance Claims - Deborah Laemmerhirt 203-994-4297 homesinconnecticutforsale.com
In some states, making a single homeowner's insurance claim can raise your annual insurance premium by more than 20%, according to data collected by InsuranceQuotes. So you have to decide it it is worth it to actually make the claim.
Nationally, making a homeowner's insurance claim leads to an average annual premium increase of 9%.
The states with the highest post-claim increases include:
- Minnesota 21.2%
- Connecticut 20.6%
- Maryland 19.3%
- California 18%
- Oregon 17%
- Arizona 17%
- Alaska 17%
The states with the lowest post-claim increases include:
- Texas (insurers are not allowed to boost premiums after the first claim)
- New York 1.1%
- Florida 1.8%
- Vermont 2%
- Massachusetts 2%
In Connecticut, you really need to think before you file a relatively small claim. An example show's why. Suppose:
- Your insurance is $500 a year.
- You have a $500 deductible.
- Your premium will rise 20% after your first claim.
If you file a $600 claim, you'd receive $100 from your insurance company ($600 claim minus $500 deductible = $100), but your premium would rise $100 because you filed the claim. You'd break even the first year, but you'd be paying $100 more for insurance every year after that.
By contrast, if you file a $6,000 claim, you'd receive $5,500 from your insurance company and your premium would still rise only $100.
