A question about Homeowners Ins policies in CA.

[spartan61]

I live in Florida, and after the summer of the 4 hurricanes, our Homeowners Insurance skyrocketed. Many people, even those not affected, were dropped. We were one of the fortunate ones that weren't dropped by our ins. company, even though we had to file a claim. (Yes, our policy rates went up.) We have an excellent policy and we took it out years ago when my husband was still on active duty with the USMC. Our company sent us a letter stating that we will be grandfathered, but anyone moving into FL, who isn't on active duty, cannot buy a policy, nor can we buy another policy if we sell our house and move to another one in FL. I can't help but think of all those poor people in CA who have lost everything. How is this going to affect their Homeowners? They sure don't need anymore terrible news. The insurance companies are always happy to sell you a policy and love it if you don't make any claims. But once you do have to make a claim, you become chopped liver to them. My heart is breaking for all of our fellow citizens in CA.

[slackmaster]

1. The state of California regulates and licenses insurers here

You can't even work as a claims adjuster unless you are licensed to do that in this state.

When insurance companies try to stop writing one kind of policy or another, the Insurance Commission threatens to pull their licenses to write any kind of policy.

State Farm tried to stop writing homeowners' policies after the Northridge Earthquake. The state told them "OK, then you can't write automobile policies either."

State Farm backed down.

[mnhtnbb]

2. We're living through having our house burn down Aug 28th--in NC

Our insurance co has seriously low-balled the estimate on replacement value of our house. We are exercising the clause in the policy that allows us to go to adjudication by hiring a 'public adjuster'
to represent us. This same public adjuster fought the same insurance co successfully two years ago
in our town and recovered an additional $300K for their client. We aren't in the same ballpark--but
we figure they're trying to cheat us out of 25% of the value of rebuilding our house.

So, for all those in CA who are going to be going through the same thing--be sure to check your insurance policy and know what options are available to you to challenge your insurance co.