Factors affecting price of homeowners insurance

Insurance companies are always glad to sell homeowners and business owners their products. Insurers urge people not to scrimp and save on policies and premiums so that can be assured that when a storm hits Tampa, their property is covered.

In a recent news article, a Florida insurance company owner said that people focus on price to their own detriment, often winding up disappointed “when a claim happens.” Of course, as many people in our area know, the disappointment is sharpest when a house or business is covered and an insurance claim is underpaid or denied.

According to the article, the National Association of Insurance Commissioners says homeowners insurance premium averages $1,095 a year nationally. In Florida, we pay the nation’s highest average: $2,094 per year.

On the other end of the homeowners insurance spectrum is Idaho, where people pay just $561 a year.

Factors that determine how much you pay include the cost of rebuilding your home or business, as well as the value of the contents of the structure, age of the building, size and whether or not you have security or sprinkler systems. Additional costs are incurred for liability insurance and an umbrella policy (extra liability insurance).

The size of your deductible will also affect the amount of your premium, of course.

The insurance company owner pointed out that here in Florida, there are two deductibles: a hurricane deductible (typically 2 percent) and a non-hurricane deductible of $1,000 or $2,500.

When you are not being treated properly after submitting a claim to your insurer, speak with a Tampa insurance claim attorney at Williams Law Association, P.A.