Home Insurance Market Recovers In 2009
Texas Department of Insurance has said in its financial reports, that the home insurance market had an average loss ratio of 67.3% in 2009. This is a much better year compared with the previous five years which had lots of hurricanes. After hurricane Ike in 2008 devastated the home insurance market in Texas, 2009 looked promising and solid.
This is good news at a time when many home insurers wanting to exit the market or raise the rate hikes in order to sustain in the market. As of now the home insurers in Texas follow a “file and use” system by which they can go for rate hikes after notifying the Texas Department of Insurance though the Texas Department can object any rate hike which it feel is going to hurt the consumers. Consumer groups which
are already pushing for a change in law by which the home insurance companies should get prior state approval for rate hikes will be buoyed by the news.