The insurance market is becoming tougher by the day

 

The personal and commercial insurance landscape is looking more like the wild, wild west the more we trudge through 2023.

Things are getting W I L D. The market is experiencing turbulence and volatility it hasn’t felt in many years. The ripple effects of COVID + “Nuclear Verdicts” + costly weather losses have the insurance industry hurting. Have a look for yourself:

State Farm Posts 13B LOSS

What is a nuclear verdict and why does it impact me?

Nationwide Pausing New Business

Florida Insurance Is Crazy

California Insurance May Be Crazier

While not every insurance carrier is listed above, each carrier is reviewing its accounts more closely than ever. What does this mean for you?

  • Sizeable premium increases are likely
  • Driving violations and claims will hurt you more than in past years
  • Depending on your location or line of business, carriers may be sending you cancellation documents
  • Some carriers are now requiring having both your home and auto insurance, or they don’t want to do business at all

With all this said, here is our advice:

Insurance is for the major, financial setbacks. That’s when you should lean on it. Have higher deductibles and robust liability coverage. Don’t file the ticky-tack claims to save $150 if you can help it. Yes, you do have road trouble service or glass coverage. Should you use it? Probably not. Cut the check and move on. These small, seemingly innocent claims often come back to cause issues down the road.