All Forum Posts by: Connor Francis

@Elad Messing

Great question. Answers:

• 10% is a subjectively high increase
• carriers offer brokers "new business" concessions to drive goals, then follow it up with incremental increases on an annual basis.
• Outside of individual experience, insurance increase spikes are linked to the carriers property claim pool. I.e. if there were many property losses tied to the carriers property book, the carriers will subsidize the loss leaders with you.
• I would not advise shopping your insurance every year so as to prevent what we call "market fatigue". 

Questions:

• Did you receive a decrease for switching last year?
• Is your broker guiding your renewal process or are you dealing with carriers directly?

Please message me directly if you would like any guidance on your renewal process.

@Ken Hass,

Thanks for your question. I get these types from clients regularly. First, I would advise that you think carefully before submitting a claim. Any claim on your record could affect SafeCo's willingness to renew your package policy.

Secondly, The type of claim does become a factor. If this upcoming water claim is something that could have been prevented and was due to negligence, sometimes a property insurance company will punish you for this with a rate increase. If it is something that naturally occurred over the course of time then SafeCo should have underwritten for this.

Lastly and most directly, your additional listed property should not suffer due to the experience of another property.

I hope this helps and please contact me should you need guidance in properly submitting the claim or prepping the carrier.

Hello all Bigger Pockets,

My name is Connor Francis and I am new to the forum. I am from Kansas City, MO and I am a student of risk management in real estate. I joined bigger pockets to learn more about real estate transactions and hope to soon be an owner/operator myself. I welcome any advice and hope to share my insight as well. Also a big Fly-fishermen.