Price Insurance Exchange

  Oh, if it were that simple! Insurance agents do not set rates. They sell and service policies for insurance companies.   Insurance companies can change their rates by filing with the Texas Department of Insurance (TDI).  They  are required to provide an analysis that supports the requested rate change. State law requires that rates be reasonably related to all costs and based on sound actuarial (calculation of risk) principles. Insurance companies consider factors that affect the cost for all claims, including but not limited to inflation, riskier driving, and weather events.   Inflation affects the cost of parts and repairs, and as companies pay for the increased cost of the number and severity of claims, they are forced to raise rates to make up for those costs. The frequency and severity of weather events also add to claim costs overall. Here are some other things insurance companies consider when calculating a rate for each customer: For home insuran...

  You’ve moved to a new house and decided to keep your other home and rent it out. Congratulations!  You are now a landlord. Are you aware that your homeowners insurance may not cover a loss if someone other than you lives in your old home (even if it is a family member and they are not paying rent)? Rental properties (including vacant properties) should be protected with a “landlord” policy -- sometimes referred to as a "Dwelling" policy.   A basic “Dwelling” policy covers fire, lightning, wind, hail explosions.   Dwelling policies only cover the types of perils (losses) that are specifically named in the policy.   Vandalism is not usually included. Water damage from pipes or appliances may also not be covered. There are optional coverages that can be added to the basic Dwelling policy, like coverage for loss of rent, medical payments, and personal liability. It’s important to note that basic Dwelling policies cover Actual Cash Value (ACV), which means your...