Question : Why do people get refused home insurance?
Whenever you get a home insurance quote it asks you if you have ever been refused insurance. Why would that happen? And if it does, does it count against you for the rest of your life? Are there any insurers willing to insure such people?
- asked by Tim
All Answers:
Answer #1
maybe its because they have made a fraudulentclaim.
- answered by SONIA j C
Answer #2
Bad credit rating, or living in a dodgy areamaybe?
- answered by Bob Dylan
Answer #3
depends what area you live in, if its prone tofloods etcIt can also depend on what pets you haveif anyFor example i own a Siberian husky who areprone to destructive behaviour, so getting homeinsurance for me was a nightmare!
- answered by cutie
Answer #4
if your house is in a flood zone where floodshappen offten(as it will cost them money) or in aknown tornatdo zone, and so on, yer their arecompanys for insuring them, but they cost more!
- answered by dale w
Answer #5
Insurance companies are in the business of makingmoney. They are not a non profit organization. Ifa person has sued an insurance company or made alot of claims they would most likely be refusedhome owner insurance. But there are alwaysalternatives its just that they cost more.
- answered by Tapestry6
Answer #6
Insurers refuse people who are high risk or inhigh risk areas. They may also refuse people whohave claimed excessively or been found guilty ofdishonesty/theft. It could well be something thatstays with you if you do not move to asafer/better area
- answered by Huge
Answer #7
There are may be any problem.
- answered by gowri s
Answer #8
some ppl do the dirt on insurance companies likeclaiming all the time so other insurancies dontwant to fall for it too but i do believe there areother insurancies out there that would insure urhomes and other things
- answered by william l
Answer #9
See all those people in those floods last month?The ones making expensive claims will be refusednext time round.
- answered by wonderingstar
Answer #10
High risk,excessive or fraudulent claims.
- answered by Big John
Answer #11
some companies will refuse to insure a home thatis heated by wood alone or coal because theseheating systems are high risk if not usedproperly. Usually if an oil or electric system isput in the dwelling then they can be insured.
- answered by Ken M
Answer #12
There are two aspects of insurance: physicalhazard and moral hazard.Physical Hazard - you livein an area that the insurance company won't coverper se - e.g. an inner city area without adequatesecurity, a flood plain or the house is anon-standard construction e.g. thatch roof thatagain the insurance company won't cover. There isnot much of a problem if an insurer won't coveryou because of those factors as other's will.MoralHazard - This could include previous criminalconvictions, fraudulent claims, certainoccupations. Anything involving moral turpitudewould involve a specialist insurance broker butcover is available.Claims: A poor claims historywith no evidence of trying to reduce futureexposure is also a problem. In theory you wouldhave to disclose the fact that insurance has beenrefused for ever (worse than criminal convictions- at least under the rehabilitation of offendersact certain convictions are spent after a time).Asyou may expect having had an insurance policycancelled is worse than having had insurancerefused iff the only reason why the insurance wasrefused was standard underwriting criteria.Youwon't be able to get quotes online if you have hadinsurance refused but a local insurance brokershould be able to fit you up. If you contact BIBA(their organisation) they can put you in touchwith a local firm.
- answered by welcome news
Answer #13
Sometimes people get refused if they were formallyasked to leave their previous home because ofoffensive sexual escapades that disturbed theneighbors too frequently. It happened to me. Weused to have gang bangs and love trains at thehouse but the neighbors asked us to leave. Wetried to be nice and invited them, but I guessthey were too good for us. They weren't even thatsexy. So we left and when we tried to buy anotherhome, the insurance company told us that we hadbeen blacklisted for "extreme freakiness."
- answered by hershey highway road thug
Answer #14
companies have a list of "acceptable" risks. ifyour home is located in a flood zone, badneighborhood, you have the wrong breed of dog,have a trampoline..etc they reserve the right tosay no to you. but there are companies out therethat will insure you. it may not be cheapdepending on what kind of "risk" you have. yourstate web page has a list of property and casualtyinsurers that are active for business in yourstate.
- answered by skylarksue
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