Why are my insurance premiums so high?

Transcript of Video: Why are my insurance premiums so high?
Hey there, fellow policy holders.

So you might have noticed a little something different in your mailbox lately. Yep, that’s right. Your insurance premium may be sporting a new number and it’s not the kind you want to see. But hey, before you start throwing darts on my picture on the wall, let me give you the lowdown on why these numbers are creeping up.

First, let’s talk about the elephant in the room. Inflation. You know that sneaky little thing that makes everything from your morning coffee to your monthly bills a little bit pricier?

Well, it’s been flexing its muscles lately, hitting a 20 year high in 2023. And guess what that means? The cost of replacing your assets, your car, your home, your business is now higher than ever. It’s like trying to keep up with that treadmill that keeps speeding up.

But wait, there’s more Ever heard of interest rates? Yeah, they’re not just numbers on a screen. They actually play a big role in the insurance game. See when those rates go up, insurance companies can’t rely on their usual moneymaking tricks. Suddenly they’re tightening their belts and looking to make a profit…By brace yourself, raising premiums. It’s like when your favorite coffee shop starts charging extra for that extra shot of espresso. Ouch.
And now let me introduce you to the star of the show: Reinsurance. Bet you haven’t heard of that one before. Think of it as insurance for insurance companies. Yeah, it’s like a double dose of protection. But here’s the kicker, just like your premiums, reinsurance costs have been climbing too. So what does that mean to you? Well, insurance companies are playing it safe, being more selective with the risk they take on. It’s like a game of musical chairs and nobody wants to be left without a seat.

Look, I get it. Nobody likes to see these numbers going up, especially when it feels like nothing has changed on your end. But trust me, there is a method to this madness, and as your insurance agent, I’m here to guide you through it all. So the next time you see that premium hike, just remember it’s not personal, it’s just the wild world of insurance doing its thing. And hey, I’ll be right hereto guide you through it all.

So the next time you see that premium hike, just remember it’s not personal, it’s just the wild world of insurance doing its thing. And hey, I’ll be right here to answer any questions along the way because that’s what friends and insurance agents are for.

I’m not just the messenger, I’m your trusted advisor in this adventure. So don’t hesitate to call us so that we can show you what we are doing to combat these rising costs for you.

Thanks for listening. We’ll talk soon.