Budget Insurance or Scammy Scammeroni?
May 14, 2014 9:32 AM Subscribe
We've identified a couple of insurance companies that will give us equivalent home insurance for about half what we're paying now. They're not national name-brand insurance companies. Would we regret that money saved come the next hurricane?
posted by Andrhia to Work & Money (5 answers total)
When we did our taxes this year, our accountant mentioned that we're paying way, wayyyy too much for home insurance. So we started looking around to price the alternatives. What we found is that most major carriers -- your State Farms and USAAs of the world -- won't write policies in our town anymore. We live on the south shore of Long Island in New York, and after Hurricane Sandy... yeah. We didn't flood, but it looks like the whole zip code has been blacklisted.
I did find a couple of smaller insurance companies, though, that specialize in just this sort of high-risk coastal property. At least one of them looks like it's recently moved into our region after doing business in Florida for some time. And their rates are good. SO good. Saving $100/month good.
So my question is: Is it safe to use a small insurance company like that? They look more or less legit from the websites, but eh, anyone can put up a legit-looking website if they want to.
Bonus: Is there some way to check up on them? Is insurance regulated enough that any insurer will be more or less the same? Has anyone filed a claim with a small insurer like this and been happy with the result? Can we save this money in good conscience?