Homes destroyed or damaged after a storm

What if my policy is canceled?

An increasing number of people in climate-vulnerable areas are facing non-renewals for even long-held policies, whether or not they have ever filed a claim. For example, State Farm dropped thousands of policies in Southern California six months before the devastating fires there burned thousands of structures.

If your home or renters insurance was not renewed, Consumer Reports has some advice: 

  • Find out when your current policy expires and ask for a 30-day or 60-day extension so you have time to shop for new insurance. If necessary, keep asking to speak to someone up the chain of command until you reach someone who can help.  

  • Ask for a written explanation for why the insurer is not renewing your policy, including any photos or videos.   

  • File an appeal, especially if you can demonstrate that the evidence your insurance company used to cancel your policy is not accurate.   

  • Make any repairs your insurance company asks for as quickly as possible, and show your insurance company those repairs have been made.   

  • Start shopping for a new policy immediately, before your appeal is decided.  

If you own your home, your mortgage lender may be able to help you find new insurance. Mortgages require homeowners to have property insurance, so they work with a number of insurance providers.

State insurance plans

As a last resort, if you cannot find a private insurance plan in your area, look for a state-sponsored plan. Most states offer Fair Access to Insurance (FAIR) plans or Citizens plans that cover high-risk areas.  

State-sponsored insurance is expensive, and coverage is limited. However, your agent may be able to help you find “wraparound” coverage through a supplemental policy that covers what a state-sponsored plan doesn’t.  

Going without insurance for your home, car, and belongings is a risky and expensive bet. If you do, one storm, one car accident, or one fire at a neighboring home or apartment could make you homeless and in deep debt for many years. While property insurance may be an expensive hassle, going without it is not worth the risk.  

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