A recent study compares auto and homeowner policies over a span of three years.
Though the storms that Ohio has faced over the last few years have made insurance news in their ever increasing effect on rates, despite the rises in premiums, the state is still among the most affordable places to purchase both auto and homeowners coverage.
Homeowners premiums have risen in Ohio by an average of 6,2 percent since 2011.
This, according to the latest Ohio Department of Insurance news data. Similarly, statistics from that department have also shown that the increase from the year before that was 8.7 percent, and there was a 9.6 increase the year before that, with the preceding year’s increase at 7 percent.
Ohio insurance statistics are based on the rates of the top 10 insurers in the state.
The largest ten insurers in the Ohio marketplace make up approximately 70 percent of that market. While those companies aren’t capable of recovering storm losses announced in insurance news, the recent patterns of severe weather can be worked into the predictions for losses that will be seen in the future and are therefore calculated into the rates that are charged.
For instance, the end of June and the start of July brought a number of damaging storms to the state, which led to preliminary losses that were estimated at $434 million. This made that specific time span the third most expensive natural disaster that state has ever experienced (as per the Ohio Insurance Institute).
The year 2007 marked the start of the chain of massive losses reported in insurance news. The following year brought the remainder of Hurricane Ike, which brought about $1.1 billion in covered damage.
Even in 2011, there was a period of six days in which the May storms made news headlines by generating $400 in covered damages. Many companies are still in the recovery process following the many different types of catastrophe and disaster that have been experienced over the last handful of years.
Even as the homeowners rates continue to rise, and even as they have done so significantly over the last few years, many companies are still making insurance news because they are losing money in that sector. Equally, though, Ohio insurance remains the state that has the sixth lowest rates in the country for home coverage, and is in tenth lowest place for vehicle policies.