Only 5% of homeowners 55 and older had their policies dropped in the last three years. (Credit: nito/Adobe Stock)
Among younger homeowners (ages 18 to 34), about half — 51% — had their home insurance nonrenewed or canceled in the last three years, according to the 2024 Policygenius Climate Change & Homebuying Survey.
By contrast, just 15% of homeowners between the ages of 35 and 54 and only 5% of homeowners 55 and older had their policies dropped in the same period, between January 2021 and January 2024.
For younger homeowners, the most common reasons for a cancellation or nonrenewal were failed home inspection (22%) or filing a claim or multiple claims (22%). Only 4% of homeowners over the age of 35 said they had their coverage canceled over a failed home inspection, and just 6% lost coverage after filing a claim or multiple claims.
Younger homeowners were also more likely to have their policies dropped due to living in an area prone to hurricanes, wildfires or other natural disasters. Among younger homeowners, 16% said they’d lost coverage because their insurer no longer offered it in their area, and 18% had their policy dropped because of their home’s natural disaster risk. By contrast, just 3% of homeowners 35 and older said the same.
The discrepancy could come down to the fact that younger homeowners are more willing to make sacrifices to find an affordable home.
The survey found 82% of younger homeowners said they’d be willing to give something up — such as moving to a different city or state, buying a cheaper home in need of renovations or settling for something that doesn’t check all their boxes — to afford a house. Just 68% of homeowners between the ages of 35 and 54 and 53% of homeowners 55 and older said the same.
Younger homeowners are also more open to moving to disaster-prone states, such as Florida, California, Texas and Louisiana, than older homeowners. While 22% of respondents between the ages of 18 and 34 said they would be willing to move to Florida, for example, just 8% of those 55 and older said the same.
Among all homeowners, however, 18% said they would no longer consider living in Florida, California, Texas or Louisiana due to climate change and rising insurance rates.
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