With extreme weather events increasing in recent years, homeowners insurance companies have raised premiums or stopped offering coverage completely. Many of the policyholders hit with nonrenewal or cancellation notices are the ones most in need of insurance coverage.Just six months before the devastating wildfires ripped through Southern California, State Farm canceled 1,600 policies in the Pacific Palisades community of Los Angeles.If you live somewhere with a high risk of certain disasters, you might not be covered for very costly scenarios. That includes Californians in wildfire-prone areas, Floridians in hurricane paths and Texans in areas with a high probability of wind and hail damage.As the nationwide insurance crisis gains more public attention, some temporary measures have been taken. For example, the California Department of Insurance issued a one-year moratorium on nonrenewals and cancellations for properties located near the recent wildfire destruction.Here’s more on what you can do if you’ve been denied insurance on your home. Read more: Fires, Floods, Hurricanes and Tornadoes: Do You Need More Home Insurance for Natural Disasters?What homeowners insurance coversInsurance won’t cover everything. Flood damage, for example, is not part of most standard homeowners insurance policies. Neither is damage from earthquakes, mudslides, mold or pest infestations. If you have failed to maintain the property in good condition, your company can determine it’s not responsible for certain damage.Though policies vary, standard homeowners insurance typically covers these areas:Dwelling protection: This portion protects the actual structure of the home. If a tree falls on the roof, for example, or a vandal breaks your glass door, you can submit a claim to have your insurance company help pay for the repairs after you meet your deductible.Personal property protection: This portion helps cover costs related to the actual belongings in the home. If the vandal who broke the glass door comes in and steals your living room furniture, personal property protection could help you buy new furniture. It’s important to note that this may not cover everything in your home. For example, if your $2 million wedding ring is stolen, this may well exceed your limits, which is why a lot of homeowners opt for additional coverage for especially valuable items.Liability protection: This portion applies to the potential costs of an injury on your property. If someone comes to your house, falls down the stairs and winds up in the hospital, you could be liable for the damages. This coverage can help pay for those medical bills and other related costs for the victim.Read more: Insurance Premiums Spike as Natural Disasters Strike. What Homeowners Can DoWhy you might be denied homeowners insuranceWhile there are a variety of reasons you might get rejected for coverage, generally when insurance companies determine a high likelihood of risk, they’ll incur more costs, and you’
Gio. Gen 30th, 2025
