COBB COUNTY, Ga. — Georgians should expect to start paying more for home insurance, if they aren't doing so already.
"I called my insurance company, and they let me know that it went up 15 percent," explained Cobb County homeowner Chandon Adams.
The increase in his homeowners insurance premium came even before he filed his first claim. Then came the tree crashing into his house, resulting in a $3,200 insurance payment.
"I'm extremely scared to see what the rates do to me (after that) ," he said.
"Georgia has seen significant problems with severe weather over the last couple of years, and the cost of claims continues to go up," said insurance industry spokesman Dave Colmans. He said hail claims in particular have made premiums in Georgia balloon.
Channel 2 consumer investigator Jim Strickland got numbers from the Georgia Department of Insurance. State Farm hiked rates 10.9 percent in March. Georgia Farm Bureau's rates are scheduled to go up 11.4 percent Aug. 1. Allstate, Nationwide and Cotton States implemented significant increases last month.
"People think, 'Well, they get all this money every year and they put it in the bank.' Well, they don't," said Colmans of the insurers.
In fact, a report from the National Association of Insurance Commissioners showed last year Georgia's top four home insurers paid out nearly $500 million more in claims than they were scheduled to receive in premiums.
With multiple rental properties all seeing price hikes, Chandon Adams is now on a mission.
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"Oh I'm definitely going to shop around," he said.
Consider increasing your deductible and combining auto and home coverage with a single carrier to reduce your insurance rates.
WSBTV
