AUSTIN, Texas — We've seen home prices, gas and even food prices go up since the pandemic began. One other thing that's also on the rise is home insurance rates.
From 2017 through 2021, on average, nationwide premium rates went up by 12.2%, according to S&P Global Market Intelligence data.
This is attributed to pandemic-related supply chain issues and labor shortages, which are driving up the costs of home repair and replacement.
Eckert Insurance Group President Will Eckert said this is something he's seeing in Central Texas.
"The cost to get those homes back together again has risen," he affirmed. "I think that's fundamentally the reason why the prices are going up."
Extreme weather events in the area also push costs up. This includes the 2021 winter storm, and now the recent tornadoes in our area.
Roseanne Guthrie, personal lines manager at Anco Insurance, suggests working with your agent because they can help you get the best deal on home insurance.
"I do recommend that people review their coverage from year to year," said Guthrie. "That's very important. As said, carriers are increasing rates. Carriers are also offering ways to save money that you may not know about. So always talk with your agent, and review your coverage."
In the meantime, Eckert said the only way homeowners will see some relief is if the economy stabilizes a bit from where it is now.
"Hopefully, the supply chain issues that we're having in the world, the inflation that is crept up in our marketplace will subside," he said.
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