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Is the world becoming uninsurable?

(charleshughsmith.substack.com)
476 points spking | 1 comments | 17 Jan 25 00:32 UTC | HN request time: 0s | source
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404mm ◴[17 Jan 25 16:24 UTC] No.42739648[source]▶
I live in North Texas, and I see a similar pattern in home and car insurance as well. Our main local threat is hail. Well, and the tornadoes, but while very destructive, tornadoes create fairly geographically limited damage. Hail can cover whole cities at a time.

Car insurance became quite expensive. My premium is about $2,200 / 6mo (no accidents, no speeding, no claims in about 10 years) for two cars and two drivers. For some reason, 80% of people choose to park outside while they have a 2-car garage available. Usually packed with crap. They find it easier to have their cars totaled every 4-6 years.

For home insurance, my policy is almost $4,800/yr now! While making some coverage adjustments, I noticed that my insurance company no longer offers a choice of lower deductibles for hail/wind. It’s a fixed percentage relative to my property value, currently showing as nearly $15k as the cheapest option. That’s more than 50% of the replacement cost! (I know that because I had my roof replaced twice in the last 10 years.)

replies(2): >>42739971 #>>42740535 #
1. _heimdall ◴[17 Jan 25 16:41 UTC] No.42739971[source]▶
What's the rough value for your two cars?

I live in a similar climate where hail and tornados are both a risk, though hail is a little less likely here than where you are.

Admittedly we have cheap cars, but our car insurance for two drivers is closer to $850 for the year (full coverage with a reasonable deductible).

Insurance costs have seemed to adjust to a combination of more severe weather conditions, but they also have to fix much more complicated and expensive cars today too. A simple fender bender can be thousands to fix, heck I recently heard about a $5,500 bill when a newer Ford got water in the headlight and fried pretty much the entire electrical system.