This means that when insurance companies have to cover repairs, they’re paying more money across the board. Naturally, this leads these companies to raise their rates as a means of offsetting the difference.
Finally, officials believe climate change may also have an impact on home insurance costs. More natural disasters will of course lead to a higher demand for property repairs, which – once again – causes insurance companies to have to spend more money.
Don’t expect home insurance to get any less expensive
Moving ahead, anyone who owns a house or is considering buying one should expect insurance rates to keep climbing. Inflation, the cost of home construction, and other factors impacting the cost increases since 2019 aren’t going away.
Further data from LendingTree reveals that most home insurance claims filed so far pertain to issues involving hail, wind, lightning, and fire.
