Inflation, a labor shortage, effects from the lingering COVID-19 pandemic and increasingly devastating fires are boosting the cost of insurance for homes, cars and businesses.
“Everything,” said Sunnyvale insurance agent
The pandemic and high costs of living, especially in the
Huge home insurance payouts by insurers after wildfires sent some providers fleeing from the risky areas of
The two Nelsons represent the third generation to run the business, after Nelson’s grandfather Buford founded it just after the Second World War. This news organization spoke with him about the state of insurance coverage at a time when prices are up considerably for virtually every consumer good. His comments have been edited for length and clarity.
Q How did the COVID-19 pandemic affect the insurance industry in general, including for home, auto and business?
A The insurance industry as a whole automated quite a bit more. The automation has given people (in the insurance business) the ability to work from home, but I think the efficiency level has dropped a little bit. In some ways it speeded up the process; in other ways it slowed down our ability to be able to quote new policies and be efficient — it’s kind of a Catch-22. Insurance is kind of slow on the digital side of things, applications, things of that nature. We do a lot of it on the computer but there’s a lot of parts and pieces where we were still taking information in and filling it out … on a PDF form by hand. A lot of that’s changed. They’ve automated it, where they’re pulling that information from other sources.
Q How did the COVID-19 pandemic affect car insurance when so many people shifted to working from home?
A A lot of companies stepped up and automatically decreased people’s mileage driven per year — everything’s based on miles driven for your rates. Some companies gave discounts, other companies … just automatically based everybody at 3,500 miles a year.
Q What’s happened with those discounts now that many people have resumed earlier driving patterns?
A That has been taken off now that things are back open. Everybody’s being charged based on their normal driving habits. Some people who work remotely, we keep them low — they just have to provide some proof, like mileage readings.
Q What’s affecting homeowners insurance?
A What really has been hitting people in
Q How is inflation affecting the insurance market?
A The property side is the most affected by rises in costs. Any time that we write a homeowners policy or rental policy or any type of situation where the customer is covering the property, we have to value the cost to rebuild it. Labor prices have really skyrocketed in
Q What happened with business insurance costs during the pandemic?
A A lot of their cost is tied to what their revenue is: If you’re a restaurant and you’re serving
Q What advice do you have for consumers about insurance?
A Pay attention to your insurance policies. Look at what it cost before, what it costs now. Make sure the coverage amounts are correct. Call your agent and shop around. There’s no harm in sending it out to several other companies and seeing what someone else has to offer and get a little bit educated on how it works. Get three or four quotes. Try a few different agents — maybe get someone like us that’s independent and can shop different places. Most people have no idea how insurance works for a homeowner, or even on a car. What’s good for one person is not necessarily good for another. It’s not just about saving money because in the long term it could cost you quite a bit.
Insights & indicators Wildfires, inflation, pandemic send insurance rates soaring – InsuranceNewsNet & Latest News Update
Insights & indicators Wildfires, inflation, pandemic send insurance rates soaring – InsuranceNewsNet & More Live News
All this news that I have made and shared for you people, you will like it very much and in it we keep bringing topics for you people like every time so that you keep getting news information like trending topics and you It is our goal to be able to get
all kinds of news without going through us so that we can reach you the latest and best news for free so that you can move ahead further by getting the information of that news together with you. Later on, we will continue
to give information about more today world news update types of latest news through posts on our website so that you always keep moving forward in that news and whatever kind of information will be there, it will definitely be conveyed to you people.
Insights & indicators Wildfires, inflation, pandemic send insurance rates soaring – InsuranceNewsNet & More News Today
All this news that I have brought up to you or will be the most different and best news that you people are not going to get anywhere, along with the information Trending News, Breaking News, Health News, Science News, Sports News, Entertainment News, Technology News, Business News, World News of this made available to all of you so that you are always connected with the news, stay ahead in the matter and keep getting today news all types of news for free till today so that you can get the news by getting it. Always take two steps forward
Credit Goes To News Website – This Original Content Owner News Website . This Is Not My Content So If You Want To Read Original Content You Can Follow Below Links