U.S. Sen. Sherrod Brown (D-OH) is seeking information on a trend of rising premiums in home insurance markets.
Brown, the chairman of the Senate Committee on Banking, Housing, and Urban Affairs sent letters to Federal Insurance Office Director Steven Seitz and Comptroller General of the United States Gene Dodaro requesting a review of the home insurance market.
Specifically, he would like to see a review conducted by the Government Accountability Office (GAO) of the single- and multifamily home insurance marketplace and the factors creating instability and driving up costs for policy holders.
“I have heard of Ohioans and homeowners around the country experiencing rising home insurance rates, shrinking coverage, and surprise non-renewals. In 2023, home insurance rates jumped double digits nationally, with some states experiencing rate hikes of more than 20 percent,[1]” Brown wrote in his letter. “As customers face rising insurance rates, these additional costs make housing less affordable for homeowners and renters and make it more difficult to maintain existing housing stock and develop new housing supply.”
Brown would also like to know the extent to which insurers are hollowing out coverages, that is, providing less coverage for the same or higher rate, increasing deductibles, or capping the amount paid by the insurer if a home suffers damage or is destroyed.