There are multiple reasons that an insurance company may decide to deny to give you an insurance policy. If you have been denied for a homeowner's insurance policy, you should not give up.
Ask Why Your Policy Was Denied
The first thing you need to do is ask why your policy was denied. Finding out this information will help you take steps so that you are a more appealing candidate to the next insurance company that you try to get a policy through.
If the insurance agent cannot tell you specifically why your policy was denied, ask them if there were any areas in your application that made you a riskier prospect. Depending on the policies of their insurance company, the insurance agent who denied your policy may be able to answer direct questions that could help you become a better potential client in the future.
Work On Areas That Hurt Your Application
If you were provided with any guidance as to why your policy was denied, use that to improve your situation so the next insurance company does not turn you down. For example, if you were turned down because your credit was low, start working on strategies to improve your credit.
If you were turned down because your house needs some updates in order to be compliant with current codes, invest in completing those repairs. If your home is located in what is considered a high crime area, and is deemed not that safe, install a home security system and take measures to increase the security of your house.
Take the information you were given and use it to improve your home before you apply for insurance with another company.
Apply For A FAIR Plan
If making improvements to your house does not work, and multiple insurance companies turn you down, do not give up hope. The federal government requires each state to run a FAIR, or Fair Access To Insurance Requirements, program that helps homeowners with hard to insure properties protect their investment with homeowners and property insurance. These programs generally offer the bare bones when it comes to insurance coverage, and they tend to have higher premiums than regular homeowner's insurance policies due to the risk associated with the house. However, the plans under the FAIR association in your state should provide you with some degree of coverage.
If you can't get homeowner's insurance, try to improve upon your home and your credit score. If that doesn't work and you continue to get denied, apply to your state's FAIR association or program in order to get the coverage you need for your property and home.Share
16 October 2015
About ten years ago, my auto insurance was cancelled. This took place after one too many accidents. I was now a high risk, and my provider was not willing to keep me on any longer. Since there was no way that I was going to get behind the wheel without coverage, I started checking out plans with high-risk insurers. Some were not all that great, but others offered benefits that were very close to my old plan. I soon found a provider who would accept my application, and I began to be a little more careful with my driving. If you are having trouble buying auto insurance, let me help. I'll tell you what to look for in a high-risk provider, and how to find the best one in your area. In no time at all, you'll be covered and ready to get back on the road again.