New Jersey homeowners insurance rates may increase
Some observers feel that New Jersey homeowners insurance rates may be set to increase in the coming months following a series of severe weather events.
Residents of the Garden State were hit hard by Hurricane Irene and went through a series of severe storms last winter, even before the Halloween snowstorm that drove up the East Coast this past weekend. That succession of incidents, some told The Record, could lead to higher rates.
"Rates usually don't go up because of one storm," Loretta Worters, vice president of the Insurance Information Institute, told the paper. "If there's been a lot of disasters in certain areas over a period of years, there could be higher premiums where they see there is a lot of loss in a particular area."
The average annual cost of a homeowners insurance policy in the state - $691 according to National Association of Insurance Commissioners data - was below the national average last year, the paper reports.
The Insurance Information Institute says winter storms are among the most damaging weather events in terms of insurance claims. A report from Munich Re found that winter storms caused $2.6 billion in losses in 2010.
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- Total costs from Minneapolis tornado reach $80 million May 21, 2012
- Analysis shows more than $2B of insurance claims from Joplin tornado May 18, 2012
- Recovery continues for Michigan tornado victims May 17, 2012
