2024 LexisNexis Home Trends Report highlights why home insurance has increased for homeowners as loss costs across all perils rise for the fifth year in a row
ATLANTA, Oct. 16, 2024 /PRNewswire/ -- LexisNexis® Risk Solutions today released its ninth annual LexisNexis U.S. Home Trends Report, providing an updated view of by-peril trends in the U.S. home insurance industry to help insurers make more informed business decisions to be better positioned for profitable growth, and help them educate consumers on home insurance trends that impact their policies. In addition to insights into loss cost, frequency and severity, the report includes details about seasonality, distribution of catastrophe claims and geographic trends.
Key Takeaways
"In the last year, the U.S. saw several historic-level weather disaster events and the highest level of catastrophic claims across all perils we've seen in the past seven years, which contributes to rising premiums that consumers across the country face right now," said Cole Winans, vice president, home insurance, LexisNexis Risk Solutions. "As home insurance carriers continue to contend with seasonal and geographic variabilities related to climate – in addition to rising inflation, material and labor costs – understanding by-peril and macro level home insurance trends coupled with maintaining extensive data and imagery on current house conditions over an extended period of time is imperative to remain nimble in today's volatile and dynamic market. Even as more insurers are likely to see rate increases approved in certain states in the coming months, they will need to be discerning in writing new business only in those pockets where they can do so profitably and that will be on a carrier-by-carrier and state-by-state basis."
All Peril Trends
A Year of Hail
Wind, Water, Fire and Lightening Perils
Non-Weather-Related Perils
"When we look at peril data over a seven-year span, it's increasingly clear that home insurers cannot rely on short-term trends alone to make fully informed decisions about their books of business and operational strategies," said George Hosfield, associate vice president, home insurance, LexisNexis Risk Solutions. "For example, while hail loss cost surged by 57.9% in a one-year observance, the longer-term trend shows consistent increases across all perils year-over-year. This emphasizes the need for carriers to consider broader historical data when evaluating risk and adjusting pricing strategies to help support their long-term profitability."
Download the latest LexisNexis U.S. Home Trends Report.
About LexisNexis Risk Solutions
LexisNexis® Risk Solutions harnesses the power of data, sophisticated analytics platforms and technology solutions to provide insights that help businesses across multiple industries and governmental entities reduce risk and improve decisions to benefit people around the globe. Headquartered in metro Atlanta, Georgia, we have offices throughout the world and are part of RELX (LSE: REL/NYSE: RELX, a global provider of information-based analytics and decision tools for professional and business customers. For more information, please visit www.risk.lexisnexis.com, and www.relx.com.
Media Contacts:
Chas Strong
LexisNexis Risk Solutions
Phone: +1.706.714.7083
Charles.Strong@lexisnexisrisk.com
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