Why Home Insurance Rates are on the Rise

Across the world, more extreme weather events are leading to more claims for severe damage to houses. Flooding, wind storms and wildfires are unpredictable. The only thing we do know is that they will become more common in the years to come.

The other side of the climate coin, new homes are being made with eco-conscious materials that cost more to produce, and therefore insure. Energy-efficient windows and doors, solar panels and even your HE laundry pair can bump up the cost of your insurance.

Adding more living space to your home, a basement often adds more fun to your life: It's a place for hobbies, entertaining and for your children to play and spend time with their friends. But finished basements add to the cost of insuring a home. If your basement is currently unfinished and you're planning on renovating, factor the cost of increased premiums into your budget. New building materials cost more to replace, and all the high-tech toys like big screen TVs are valuables that factor in to your assessment.

In addition to a fully-furnished rec room in the basement, many homes now include features like a pool or hot tub. These additions to your backyard have high replacement costs, and also increase the risk of liability claims.