CalculateRealEstateROI

Risk Management

Why are my insurance premiums skyrocketing?

Climate, reinsurance, and replacement-cost inflation. Plan for 8–15% annual increases.

Reviewed by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice

Direct answer

Climate, reinsurance, and replacement-cost inflation. Plan for 8–15% annual increases.

Expanded explanation

FL, CA, TX, LA hit hardest. Many investors are exiting concentrated cat-exposed markets entirely. Self-insure deductibles up to $5k to lower premiums.

Examples

  • Florida SFR insurance: $2k → $4,500 over 3 yrs.

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