Ask Amy: Huge home insurance hike, denied coverage, help!

(Copyright 2023 by KPRC Click2Houston - All rights reserved.)

We keep hearing from you about the insane homeowner’s insurance market right now. People are getting quotes two and three times higher than what they are paying right now. Some people can’t even get coverage! What can you do?! I’m here to help.

Hundreds of customers in Houston can’t even find insurance coverage

(Copyright 2023 by KPRC Click2Houston - All rights reserved.)

The homeowner’s insurance industry is in such a mess right now. Major insurance companies have stopped writing policies altogether in Florida and California. We are feeling the fallout here.

Hundreds of people can’t get renewed right now

Leash Yu with Yu Insurance Agency says he has 300 customers right now whose insurance companies will not renew them. His advice - if your insurance company renews you, even if you have a higher premium, stick with them. Because if you go with a new carrier and a new policy - there are risks.

An insurance company may cancel your policy in the first 60 days if:

  • The insurance company learns about a risk you didn’t tell it about and that wasn’t part of a previous claim.
  • If the insurance company doesn’t accept a copy of a required inspection report before the policy starts.

“It’s called the discovery period,” explains Yu. “So, the insurance carriers have a discovery period and if you shop your insurance every year, you’re subject to two months out of the year that you can get canceled for any reason whatsoever by the insurance carrier. Now is not the right time to be moving and be set being subject to that discovery period.”

Watch for bait-and-switch insurance quotes

An insurance agent may quote you a low price and even send you a policy - but that doesn’t always mean that quote is what you will pay. The insurance company could increase the quote even if you already paid it. The Texas Department of Insurance says an insurance company can’t change the premium in the first 60 days unless there is a change in coverage.

TDI sent these examples of when this might happen:

  • An inspection shows the home has more square footage than the original application indicated.
  • A policyholder remodels or makes additions to the home.
  • The policyholder requests additional coverage.

The Texas Department of Insurance says an insurance company can cancel your policy anytime if:

  • The policyholder stops paying their premiums.
  • The policyholder files a fraudulent claim.
  • Continuing the policy violates the law.
  • There’s an increase in risk within the policyholder’s control that would raise their premium.

What can you do if you can’t get home insurance coverage?

Leash Yu from Yu Insurance Agency explains many of the lenders have what is called forced place insurance. If you can’t find coverage here is what to do:

-Call your lender and tell them you can’t find insurance

-They will activate forced place insurance

-Only covers collateral on the house (belongings not covered, liability not covered)

-Very expensive

One reason homeowner’s insurance is such a mess right now

After 2020 the average amount the insurance industry paid out each year has been $ 76 billion.

But before 2020, the average payout used to be $30 billion a year. Yu says one major storm this year could cause the market to collapse.

Learn more about shopping around for homeowners’ insurance in today’s full Ask Amy episode here.

[You may remember Yu and Amy recently went over everything you need to know about flood insurance and private flood insurance.]

Save money on back-to-school shopping

The first school bell rings in just days for hundreds of students. That is why we are helping you get classroom ready.

We are always looking for ways to save time and money stocking up on all the school supplies your child needs.

No matter which type of shopper you are we think you’ll find value in this list of ways to save on back-to-school shopping.

Do you have any back-to-school ideas to share? Email me at

About the Authors:

Passionate consumer advocate, mom of 3, addicted to coffee, hairspray and pastries.

Award-winning TV producer and content creator. My goal as a journalist is to help people. Faith and family motivate me. Running keeps me sane.