What To Do About Out-of-Control Homeowners Insurance Costs

The word “home” should bring peace of mind—not panic every time your renewal notice arrives. 

Yet lately, homeowners across the Southeast are opening their mailboxes (and emails) to find premiums that have skyrocketed faster than hurricane winds. When nature turns unpredictable, insurance rates tend to follow suit—and South Carolina homeowners are feeling the pressure.

What’s behind these rising costs, and more importantly, what can homeowners actually do about them? Let’s break it down (before your premiums do).

Understanding Out-of-Control Homeowners Insurance Costs

When storms like Hurricane Helene and her overachieving cousin, Hurricane Milton, sweep through the South, the aftermath extends far beyond fallen trees and flooded roads (and let’s be honest—Milton sounds like the kind of hurricane that would also mess up your Wi-Fi). These natural disasters ripple through the insurance market, forcing companies to pay out massive claims (and forcing homeowners to wonder if “storm season” is just code for “rate hike season”). The result? Higher premiums for everyone (yes, even if your roof never lost a single shingle).

Every major weather event creates a domino effect. As property damage rises, insurers raise their reinsurance rates—the insurance that insurance companies carry to protect themselves. In 2024, some regions saw those reinsurance costs jump by 50% overnight (because apparently, insurance math also drinks espresso and doesn’t sleep). Naturally, those increases get passed down to homeowners.

But it’s not just the weather that’s driving rates up—it’s the system itself.

The Broken Model: Why Homeowners Insurance Feels Like a Losing Game

Here’s the kicker: in the U.S., homeowners' insurance isn’t entirely optional. Because most home loans—especially FHA and conventional loans—require it, the demand is artificially inflated. That means the market operates with built-in pressure, and insurers can raise prices knowing most homeowners have no choice but to pay up.

In countries like Japan, homes are often rebuilt every few decades. But here, long-term 30- and even 40-year mortgages mean our houses must endure storms, decades, and everything in between. Combine that with aging infrastructure and increasingly severe storms, and the math starts to make grim sense.

Still, there’s an even deeper layer—how the coverage works. Most policies don’t insure your market value; they insure your replacement cost. So if rebuilding your home costs less than its appraised worth, you may not be fully covered in a total loss scenario. (That’s right—you could have a half-million-dollar home and still be underinsured.)

Hurricanes, Hikes, and Hard Truths

Let’s talk numbers. Since 2020, average insurance payments have risen 52% nationwide, and in high-risk coastal areas, the jump has been closer to 90%. Some states, like Florida and Louisiana, have been hit hardest, but South Carolina isn’t immune.

Even inland areas like Greenville are seeing ripple effects from coastal damage. Every storm season tightens the market, and even a single event—like Hurricane Helene reaching further inland than expected—can send underwriters scrambling.

Add in the cost of materials, construction labor, and inflation, and premiums aren’t just climbing—they’re sprinting.

And here’s the sneaky part: even when home values cool, premiums often don’t. That’s because homeowners' insurance costs are tethered to risk, not the real estate cycle.

How Homeowners Can Take Control

The bad news? You can’t control the weather.

The good news? You can still make smart, strategic choices to protect your wallet.

Here are seven ways to rein in those out-of-control homeowners' insurance costs:

1. Shop Around (Seriously)

Even if you’ve been with your carrier for years, loyalty doesn’t always equal savings. Independent agencies like Piper Insurance Group can shop multiple carriers at once, finding you the best available rates across South Carolina, North Carolina, and Georgia. (Think of them as your insurance “matchmaker,” minus the awkward small talk.)

2. Skip the Small Claims

Filing too many minor claims can come back to haunt you—raising your rates or even making you uninsurable. If the repair will cost less than your deductible or isn’t financially devastating, pay out of pocket. (Sometimes, the cheapest claim is the one you never file.)

3. Raise Your Deductible

If you rarely make claims, consider increasing your deductible. A higher deductible typically lowers your premium, and you’ll still be covered for major events like fires or roof damage. Many landlords and investors even opt for a percentage-based deductible to save long-term.

4. Be Proactive About Maintenance

Trim trees hanging over your roof, clear gutters, and check for leaks after heavy rain. It’s not glamorous work—but it beats filing a mold claim that might not be covered. (Also, if your neighbor’s tree is threatening your property, send them a certified letter. In court, “I told them on Facebook” doesn’t count.)

5. Avoid Flood Zones

If you’re house-hunting, check the FEMA flood maps first. Flood insurance is a separate policy and can cost thousands per year. Even a “low-risk” flood area can become expensive after just one surprise storm.

6. Don’t Cut Corners on Renovations

That bargain roof or discount siding job may seem smart now, but poor materials and rushed work are leading causes of denied claims. Invest in durable materials and reputable contractors. (Think of it as future-proofing your peace of mind.)

7. Check Crawl Spaces and Basements

High moisture equals mold—and mold equals denied claims. Hire a professional to inspect your crawl space or basement at least once a year. A simple vapor barrier or dehumidifier could save you thousands in the long run.

The Bigger Picture: Why This Matters for Greenville Homeowners

In Greenville and much of the Upstate, hurricane-level storms are still rare—but the region isn’t invincible. The insurance market looks at patterns, not individual zip codes, and the entire Southeast is part of a higher-risk pool.

That’s why preparation matters. A proactive homeowner—one who maintains their property, limits claims, and compares quotes—can still find manageable rates. The key is understanding that “manageable” doesn’t mean “set it and forget it.”

In a world of unpredictable weather and unpredictable premiums, knowledge (and a good insurance agent) is your strongest defense.

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Bottom Line

Homeowners' insurance may be getting more expensive, but it doesn’t have to be uncontrollable. With the right strategies—shopping smart, maintaining well, and choosing partners who truly advocate for you—you can weather the financial storms just as confidently as the real ones.

If there’s one thing South Carolina homeowners have learned, it’s that resilience isn’t just about surviving the storm—it’s about being ready for the next one

Ien Araneta

Journal & Podcast Editor | Selling Greenville