Insurance Market Risk Checker

1. Check Premium Trend: Look up your ZIP code and compare the average premium to your state average. Premium growth above 25% over the 2018-2022 period signals a market under pressure.

2. Evaluate Loss Ratio: A loss ratio consistently above 70% means insurers are paying out a high proportion of premiums as claims. Above 100% means they are losing money, premium increases are virtually guaranteed.

3. Monitor Nonrenewal Rate: Nonrenewal rates above your state average indicate insurers are actively reducing exposure in your area. This is the strongest early warning of a deteriorating market.

4. Consider Claim Frequency: High claim frequency relative to other ZIP codes in your state suggests elevated local risk factors, weather, crime, aging housing stock, or other drivers.

All Healthy: Your area's insurance market is stable. Focus on maintaining adequate coverage and reviewing your policy annually. Consider raising your deductible to reduce premiums if your financial situation allows.

Mixed Signals: Some metrics show stress. Begin shopping for alternatives proactively, do not wait until renewal. Investigate resilience improvements that might qualify for discounts.

Multiple Concerns: Your area's market is under significant pressure. Shop aggressively, consider state-backed plans as a backup, and invest in mitigation if economically justified. Budget for continued premium increases.