The industry average for home policy insurance premiums in Central Indiana has been increasing 25-30% per year since 2008. While many agents/insurance companies hide and hope you don’t notice, Wenclewicz Insurance was proactive. In 2010, we let our clients know that this would likely be the trend for several years. The average increase for our clients’ home premiums has been only 10-15% per year(much lower than the industry average). We also have the ability to check the coverage and rates of seven companies, which not only saves you time, but gives you peace of mind knowing that you are still in the best spot.
Now more than ever our model is effective due to our approach with renewals and making comparisons on your behalf.
Although not ideal(we wish premiums never rose!), the consistent yearly increase in rates is a reality. So why is that? Most insurance companies’ combined ratios have been well over 100% in the state of Indiana for several years. A ratio above 100% means that the company is paying out more money in claims than it is receiving in premiums. A company can potentially still make a profit on a combined ratio above 100%, because the ratio does not include the income received from investments. Obviously in this market that is not the case because investment returns have been down as well.
We work hard to keep our clients educated, and always make recommendations upon an increase. That’s whey we are proud to boast our highest client satisfaction rates ever.Continue reading