Did your home insurance go up in 2021?

RichmondCA wrote: ↑After a decade of stable home insurance I got a nice surprise this year, 12% hike. No claims ever. Anomaly?

Mines goes up about $100 ever year.

I'm with Belair Direct in Oakville, going from $1090 to $1300... guess I'll shop around

Yep they are going up. Makes sense with actual inflation off the charts.

Gonna be worse with the BC fires, tornados etc. Insurance companies will use any excuse they can about shared risk even if you're in another province.

Mine went down about 8% with The Personal.

cartfan123 wrote: ↑ Yep they are going up. Makes sense with actual inflation off the charts.

Actually core inflation is quite low. Inflation is currently skewed by the big jump in oil prices vs low of last year, automobiles , building materials before few weeks ago

Core inflation excluding the skewed groups is around 0.2%-0.3%/mth from last month's stats. Insurance is going up due to low yields on bonds (which indicate markets expect low inflation medium and longer term), many companies are exiting the insurance market place

When you compare prices now to before pandemic, inflation is pretty flat, but yoy its large due to cratering of prices last year and we still have shipping/supply chain disruption. But just like lumber falling substantially and losing all its 2021 gains already, the chip shortage will work itself out and supply chains will stabilize.

StatsGuy wrote: ↑ Actually core inflation is quite low. Inflation is currently skewed by the big jump in oil prices vs low of last year, automobiles , building materials before few weeks ago

Core inflation excluding the skewed groups is around 0.2%-0.3%/mth from last month's stats. Insurance is going up due to low yields on bonds (which indicate markets expect low inflation medium and longer term), many companies are exiting the insurance market place

When you compare prices now to before pandemic, inflation is pretty flat, but yoy its large due to cratering of prices last year and we still have shipping/supply chain disruption. But just like lumber falling substantially and losing all its 2021 gains already, the chip shortage will work itself out and supply chains will stabilize.

Keep telling yourself that.

StatsGuy wrote: ↑ Actually core inflation is quite low. Inflation is currently skewed by the big jump in oil prices vs low of last year, automobiles , building materials before few weeks ago

Core inflation excluding the skewed groups is around 0.2%-0.3%/mth from last month's stats. Insurance is going up due to low yields on bonds (which indicate markets expect low inflation medium and longer term), many companies are exiting the insurance market place

When you compare prices now to before pandemic, inflation is pretty flat, but yoy its large due to cratering of prices last year and we still have shipping/supply chain disruption. But just like lumber falling substantially and losing all its 2021 gains already, the chip shortage will work itself out and supply chains will stabilize.

Lol core inflation.

Was paying $2k with RBC, Belair quoted half for a similar policy, and made the switch this year…regretting the last decade of overpaying at RBC now …lesson learned…always shop around for home insurance

yessir, 25%

Mine with TD actually went down a tiny bit this year.

There is a great remedy for insurance increases, Shop Around! If I get an increase letter from my insurance company I get out the phone and start calling around. I have no allegiance to a company, I am nothing but a number to them.

kr0zet wrote: ↑ There is a great remedy for insurance increases, Shop Around! If I get an increase letter from my insurance company I get out the phone and start calling around. I have no allegiance to a company, I am nothing but a number to them.

Yup. I usually change companies every 3-4 years. That's usually how long it takes them to start trying to raise rates one me.

StatsGuy wrote: ↑ Actually core inflation is quite low. ... Insurance is going up due to low yields on bonds (

Core inflation doesn't matter for home insurance, construction and similar cost inflation matters, and that's up significantly (both due to direct inflation, but also to regulations)

Bond yields do contribute to rising insurance costs, but they've been low for years so that's not the big effect this year.

FrancisBacon wrote: ↑ Core inflation doesn't matter for home insurance, construction and similar cost inflation matters, and that's up significantly (both due to direct inflation, but also to regulations)

Bond yields do contribute to rising insurance costs, but they've been low for years so that's not the big effect this year.

Bond yields cratered, that's how you can get interest rates below 1% now

Overall inflation (and forecast on it) drive bond rates which affect inflation. With absence of longer term inflation outlook, bond rates have continued to be depressed and insurance costing more

The low bond rates and much higher insurance costs from companies dropping out due to higher payouts from more frequent extreme weather events don't help either

StatsGuy wrote: ↑ Bond yields cratered, that's how you can get interest rates below 1% now

Overall inflation (and forecast on it) drive bond rates which affect inflation. With absence of longer term inflation outlook, bond rates have continued to be depressed and insurance costing more

The low bond rates and much higher insurance costs from companies dropping out due to higher payouts from more frequent extreme weather events don't help either

Bond rates are at the same level today as in 2017 ( https://tradingeconomics.com/canada/gov ... bond-yield. Select 10 year bonds, one month increments. There's a long term down trend, and the numbers aren't hugely different lately except for a brief period during lockdown)

Also note that while in a free market economy bond rates are indeed driven by inflation, the free market has been suspended ever since the 2007 financial crisis. The central banks are the main bond buyers now and so interest rates are no longer set by free exchange but rather by a central planning committee.


Finally, I know of no insurance companies dropping out due to global warming. Any reference for that? I've heard anecdotally that some have dropped out of condo insurance due to too frequent water damage (eg laundry machine leak down multiple floors).

Went up about $600 unexpectedly without warning on renewal. With Cooperators and they changed the water coverage.

Mine went up about 88.00 with td insurance and i'm tempted to shop around. However, i have one claims free forgiveness now on the policy and i'm not sure how valuable i should treat that? Any ideas if that makes it worth it to stay.

Mine go up every year.