Homeowners Paying too Much for Insurance
It appears that homeowners in Massachusetts have been paying too much for their homes since the recession, yet had no idea about it. Now, a consumer advocacy group is urging homeowners to make sure their policies reflect their current home values.
According to the Massachusetts Public Interest Research Group, home building and remodeling prices have lowered significantly since the recession, meaning that homeowners’ insurance policies should now reflect lower home replacement costs. However, the advocacy group says that insurance companies are not informing their policyholders of these changes; changes that could effectively save them hundreds of dollars on their annual policies.
The advocacy group noted that insurance companies should take the same initiative to lower insurance premiums as they do to increase them when related costs increase. But since they won’t, the group encourages homeowners to take the steps to shop for cheaper coverage with different companies instead of sticking with the same company year after year. By shopping around, competition will drop rates overall, they say.
If you’re thinking about leaving your current homeowners insurance company, it’s good to comparison shop with more than one company. To learn more about ways to get this accomplished, visit Go Insurance Rates.