Your Kenner Home Insurance rate can go up every year even if the insurance company did not request a rate increase
Every home insurance policy has an inflation guard endorsement
From the insurance company perspective the inflation guard endorsement is supposed to keep your policy accurate with the rising cost of materials to rebuild your house
If you buy a home insurance policy for 400,000 and the insurance company has a 3% inflation guard endorsement
your policy will increase 3% each year
So on a 400,000 insured value the first year would be 412,000 the second year
Third Year 424,360
Fourth Year 437,090
The insurance company does not have to take any rate increase because each year your insured value increases and so does the rate you pay
Can you remove the inflation guard endorsement?
No you probably can not but you can request an adjustment of insured value
In the above example on the 4th year you can ask your insurance company to lower the insured value back to 400,000
As long as you can show the replacement cost of your home is 400,000 they should allow you to endorse the policy back to 400,000
Buy it and forget it?
No your home insurance policy should be reviewed annually
Things change in your life and the last person you think to call is your insurance agent
I have had customers move our of their house and forget to call me to cancel their policy
I have had a homeowner move out of his house and lease it not knowing that a home insurance policy will give coverage if the owner of the property lives in the house not a tenant
An annual review can just make sure you still have the coverage you need and also you can review for discounts
New Home Insurance Discounts in Kenner
1% Named Storm Deductible (1% of insured value)
Service Line (replacement of sewer line)
Mature Homeowner (over 55 years old)
What’s this all about?
A review to determine a competitive rate and uncover coverage issues is something you should consider annually
Review your insured value and see if your home is over-insured due to the inflation guard endorsement
Review your deductible to determine if you now have available funds so you can raise your deductible to save on the annual rate
Kenner home insurance rates have gone down for some homeowners
If you have your policy set up on auto renew mortgage bill, you may never know you are paying too much for the same policy your neighbor is getting for $750 less.