Jeffrey B. Campbell,State Farm Insurance
by Kevin Fritz
If you own a home in Seminole County, or anywhere in The Sunshine State for that matter, you are likely aware that the homeowner’s insurance market in Florida is undergoing a crisis. True, our state can pose a risk for insurance companies offering homeowner’s coverage since more hurricanes hit Florida than any other place in the nation, but fraud is playing a major role in the crisis, as well.
“There is a lot of concern with what is going on with homeowner’s insurance,” explains Jeffrey B. Campbell, owner/agent of the State Farm Insurance office at Tuskawilla Road and Aloma Avenue in Oviedo. “But we are still here, committed to what we are doing and to the people we have on board.”
He says the fraudulent practices affecting homeowner’s insurance are conducted mainly by unscrupulous home-repair companies who scam homeowners and subsequently sue the homeowner’s insurance company.
These incidents have grown exponentially in the past few years. While Florida is home to nine percent of the country’s homeowner-insurance claims – a reasonable number considering weather-related damage and the population of the state – it is also responsible for 79 percent of the nation’s home-insurance lawsuits.
As litigation costs and hurricane damage claims increase, insurance companies are either liquidating, leaving the state, canceling policies, or tightening eligibility requirements.
“While we are not sure how this is going to sort out in the end,” says Jeffrey, “there are some things homeowners can do to not only lessen their risk of being dropped but to save money on their premiums.”
Deductibles are an area in which you can save money on your current policy. Your homeowner’s insurance policy deductible is the amount you are responsible for when filing a claim. In most instances, the higher your deductible, the less you pay on your premium, so setting your deductible higher puts money in your pocket. Let’s say you move to a higher deductible – from $500 to $1,000 – and save $100 a year on premiums. In five years, if you have not made a claim, you will have saved $500 and put yourself ahead.
Bundling your insurance saves hard-earned money, as well. State Farm can bundle policies such as your car, homeowner’s, life, and motorcycle insurance and potentially save hundreds of dollars annually. Bundling also makes it easier for a policy owner to keep track of their insurance coverage since it is all under one roof – all with the expertise of Jeffrey and his team just a phone call away.
Wind-mitigation discounts can drive down your rates. Wind mitigation means strengthening your home against wind damage caused by a hurricane or a severe thunderstorm. Wind mitigation reduces your hurricane wind premium as well as the likelihood of out-of-pocket expenses from a storm. Things such as how your roof is attached and how your roof is covered can reduce premiums.
If you receive a notice from your insurance company to correct something on your home that has come to their attention, do everything you can to make sure you do not lose your coverage. Issues can range from a cracked driveway to roof wear and tear. Pride of ownership goes a long way in keeping your homeowner’s insurance intact and affordable.
Finally, make sure your home is adequately covered based on current market conditions. The coverage you purchased when you bought your home may not be adequate when considering the sizable increase in the value of homes as of late – plus the higher costs of building supplies and labor. Your policy should cover the entire cost to rebuild your home in case of a catastrophic loss, and Jeffrey’s team is always available to evaluate your coverage.
Jeffrey adds that if your homeowner’s insurance policy is canceled, there are alternatives available, including Citizens Property Insurance Corporation, the state-run, nonprofit agency created by the Florida Legislature in 2002 to provide insurance for those who cannot find coverage elsewhere.