With More Homeowners Getting Dropped, Here's What to Do If Your Property Insurance Is Canceled

As wildfire risk and losses continue, California sees rise in insurers dropping policyholders. NBC Bay Area Consumer Investigator Chris Chmura reports.

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[Me]

Insurance companies will take your money for years, and then just drop you once you’re considered a liability . Keeping the thousands and thousands of dollars you paid them as pure profit.

[harashe]

So the insurance companies only want people who will likely never need to use the insurance 😐

[BenitoGuerrero]

As an insurance agent in California you need to know 2 numbers. What your fireline and property protection code is for your home. Anything above a 4 for fireline and 8 for PPC will get you dropped from most companies. The insurance commissioner also put a stop to non renewals during the pandemic that companies are now starting to drop. Loyalty to a company will not save you from getting dropped if the risk is high.

[uhohjrama]

Dude insurance companies business model is to accept premiums and deny claims. This is no surprise.

[nickanderson]

God save us from lawyers and insurance companies.

[crazyknarf]

Liberty Mutual dropped my late father one year. After an accident of backing out of a space on a company that built statues, But the statue was in the parking lot and NOT on the sidewalk or even protected by a fence. So the company that built the statue sued my father for the damage and Liberty Mutual had to pay a settlement. Because Liberty Mutual had to pay out, they dropped my father like a bad habbit.

Liberty Mutual will take your money but if they have to pay out even one penny, they would drop every single person if they could.

Money for them and not for anyone else. A fire broke out in friend's home, Liberty Mutual was the insurance company and then told the family they are not going to cover the damage because the fire was caused by lighting. But lighting did not hit the house but the telephone pole that made the lighting travel to the house and that caused the fire.

Act of Nature is not covered, so Liberty Mutual will cover not a single thing on their home owners policy EVER.

I know that they are the WORSST company to do business with. So I will NEVER use Liberty Mutual for any insurance at all.

Liberty Mutual a rip off company who only cares for profits and not the customers they are suppose to help. They are only helping themselves.

[stephaniejames]

If you're not getting dropped, they're increasing the premium. And customers call every day asking why their mortgage payment increased and we have to tell them it increased because of their homeowners insurance or taxes, or both. Florida is taking a big hit.

[celebrityrog]

Point Blank, if insurance wants to get out of the business then they should refund every single person every dollar they ever contributed to the insurance and never got back for services paid but unrendered. They should also be seized and put out of business as a company and reborn as a government agency that covers home insurance. We pay in and you pay out. Period. This is called embezzlement to take money and never give the services you paid. It's defrauding the consumer. You want out of the business, then get out.

[tuomasholo]

Lesser known insurance companies pose risk of not paying out claims.

[rosannaspeller]

Insurance companies are making massive profits and should be regulated a lot more and/or not allowed to be for profit. A lot of places will turn you down if you are cancelled or non renewed by another company even if they wouldn’t cancel/non renew you for that same reason and then you can only get the most expensive insurance but somehow it basically covers nothing. If it wasn’t required by mortgage companies a lot more people wouldn’t even have home insurance because they are dropped after the first time they make a claim or the company just won’t cover the claim.

[EricKorbly]

“You only pay for what you need.” I guess you don’t need fire insurance according Liberty Mutual.

[propblastnd]

Selling insurance in a high wildfire area isn’t exactly a winning business model

[dancook]

Time to stop all subsidies to insurance companies and stop them from making their own rules

[mitchkman]

Make sure you hire a gardener at least every two weeks. Geico dropped us because our lawn was two inches too long. They also falsely claimed we had asbestos siding.

[mikescalisi]

Imagine being in a foolproof business so they only want to collect and never pay out 😂

[mjbrownlee]

Good old fashion High way robbery ..going through it in south texas too😢

[thomasklein]

It's mandatory that you carry Homeowners insurance if you have a mortgage, and almost everyone has a mortgage, so like Auto policies, the State needs to step in and legislate a assigned risk pool, where if dropped, you can buy insurance from the State Insurer pool, that pool would require all insurance companies doing business in the state to be part of the pool. If they refuse, they can't sell insurance in the state, ANY insurance.

[tarzzqwe]

yeah cause I love spending my free time calling every single insurance company on earth

[jg]

Stop adding bonds to property tax...too many fire fighter and school bonds.

[dirk]

The home owners in the multi million dollar homes and there own little private forest want taxpayer funded... I mean government funded insurance for their little private Edens. Priceless. Three years ago I owned a small ranch near Yosemite that I almost lost in the Lake Fire, the one I almost bought not far from mine did burn to the ground. I sold it right after that because I figured it was only a matter of time and I didn't need the stress of fearing the loss of my house along with all my belongings for 7 to 8 months out of the year for the rest of my life. On the bright side of things that allowed me to retire early and move abroad shortly after I turned 58. Best decision I have ever made for myself as an adult.