GREENVILLE, SC (FOX Carolina) – South Carolina homeowners and car owners are about to pay a significant increase in their insurance premiums, according to experts at Insurify.
According to Insurify, South Carolina is one of 15 states facing an impending insurance crisis.
The report predicts that home insurance rates in South Carolina will rise an additional 11% by the end of the year, with hurricane losses fueling the increase.
According to the report, South Carolina residents already pay 29% more than the average homeowner in the United States.
Car insurance prices are expected to rise further. It has increased 31% so far this year, but is expected to rise to 38% by the end of the year, according to the report.
However, this increase is not entirely related to hurricanes.
Chris Shafer, senior editor at Insurify, said the soaring auto insurance premiums are related to an opinion issued by the state Supreme Court last year that states what auto insurance companies must cover. said to have substantially expanded.
The Supreme Court has ruled that auto insurance companies cannot limit coverage for property damage caused by uninsured motorists to only the vehicles listed on the policy.
“Insurance companies essentially have to cover all real estate that is registered to property owners and their families. So what you’re seeing is a significant increase in insurance company coverage requirements. It’s an increase, and that’s what’s really impacting interest rate increases,” Schaefer said. “Insurance companies are trying to make that happen on the front lines for the additional costs they have to pay.”
Schaefer said there are steps policyholders can take to mitigate the increased costs.
He said it was very important to do your research before renewing your insurance.
“Insurance has to be viewed as a living, breathing animal,” Schaefer says. “When it’s time to renew your policy, it’s most beneficial to compare quotes from multiple insurance companies.”
Schaefer said this is because different companies assess risk differently.
He also said homeowners may be able to lower their insurance premiums by making improvements to their homes.
These could include things like adding storm shutters or adding a home security system, but policyholders should be sure to notify their insurer of these changes, Schaefer said.
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