Home Owners Insurance ?

[bnme]

Can your HO policey insurer just cancel your policey randomly? We use Allstate, as do several people we know. My BIL got a call that they were canceling his policey and he had to have new insurance by 7/08! I got a message from our agent but haven't been able to speak to him yet.

We live in Long Island, NY and I believe a few years back they stopped writing new policies here due to hurricane risk/Katrina backlash. But can they just drop you like this??? I fear a major headache becasue they also do our auto insurance and we get a combo discount so now I may have to move everything. Plus we have an underground oil tank and I believe insurers in our area have started to refuse coverage if you have that. Urrgh.

[BillK]

I can't speak for NY - but here in PA they must give you at least 60 days advance notice - along with a reason (in your case it could be the underground oil tank - or being in the "hurricane belt" - but it should be listed on the cancellation).

Could it be that your agent no longer represents Allstate? If that's the case - then it could be as simple as just finding a different agent.

[BeachBum]

Yeah, they can. We live on an island and get dropped every couple of years. We use an independent agent and so they just find us someone else. While it seems stressful at first, there always seems to be someone to insure us. Of course it always costs more....

[bnme]

Thanks for the quick replies. I just got off the phone with my agent and we are being dropped due to being in a high risk hurricane area (uh, not really). Any how, my agent was calling to give us a heads-up that Allstate is canceling us and to try and work with us to find a new carrier. Apparently this is pretty common around here in the past few years and after 3 years any company does not have to renew you. Just comes as a shock to me because we have had everything with Allstate since 1998 -its all I know. And its one of those things that just 'is'. Never had any problem or anything. Just pay our bill.

So I will let our agent do his thing and see what he comes up with. Maybe I should be doing some research on my own too, to make sure we are getting a fair deal.

[ritacheetah]

Here in Florida it happens all the time. We got dropped and had to find new by the end of March. This is part of the reason we are moving back to Ohio.

[BillK]

Maybe I should be doing some research on my own too, to make sure we are getting a fair deal.
You're probably better off finding an independent agent to locate new homeowners insurance for you - we represent many different companies - not just one like a State Farm or Allstate agent.

Right now the personal lines (and commercial) insurance market is the most competitive it's been for years and years. I'd be surprised if you couldn't find a better deal for both your home and auto than what you're paying now anyway.

If you search for an agent on the www.encompassinsurance.com website - you'll be assured they're an independent agent and represent more than just one company. Encompass (actually owned by Allstate ironically enough) only partners with independent agents. I'm not sure what they're like in NY (or if they even write in Long Island) - but here in PA - Encompass's home and auto rates are pretty darn competitive.