Insurance Companies Inspecting Fire Prone Homes

This shouldn't come as a surprise to anyone. Insurance companies are inspecting fire prone homes and may be requiring consumers to take steps to protect their homes. Some consumer groups and consumers are upset.

This is a pretty straightforward issue. Insurance companies are in the business of managing risk. For once, insurance companies have decided to provide a pro-active solution to a problem. They are providing risk management services at no cost to the consumer. I don't really have a problem with that.

Look, no one wants to suffer a loss from a fire. It is devastating, if you are insured or not. You lose things that you can never replace. If the insurance company wants to help you prevent that type of loss, why would you be upset? Sure, it may mean clearing brush or knocking down trees, but I would rather spend a day clearing brush than months trying to rebuild my life after a fire. And this comes from someone who has seen the devastation of fires.

I think the consumer groups need to back off. Yes, insurance companies are making record profits. But this is a good thing. Let the insurance companies provide this service to consumers.

Comments

[Light on the subject]

Our insurance company, Allstate, sent us a letter last October saying they were sending someone out to do just such an inspection. We tried twice to get a copy of this person's report from our agent; he never provided it. It is now August 8th and we have just received a letter from Allsate stating that they are cancelling our homeowner's insurance policy on September 25th 2007 because we have debris on our lawn or on our porch. We have no idea what they mean by this. Perhaps it is because when the person came in late Autumn my husband was completing some repairs to the porch and doorway. Since then the porch has some plants on it and little else. Our lawn is mostly cleared except for a few trees which we would cut if we were asked to; we would also pay to have other clearing done if this was deemed necessary. If there was a simple problem like "debris" why were we not alerted in advance so that we could rectify it.

Insurance companies have succeeded in making it a law that I have homeowner's insurance and 100 foot clearance, but in order to maximize their profits even more they are going to attempt eliminate any and all risks (even if by informing their customers these risks could be reduced to an acceptable level).

From this experience it is clear to me that these inspections clearly are NOT about risk reduction for consumers and certainly NOT a service to consumers they are about maximixing profits for insurance companies -- the consumer be damned.

[Light on the subject]

Our insurance company, Allstate, sent us a letter last October saying they were sending someone out to do just such an inspection. We tried twice to get a copy of this person's report from our agent; he never provided it. It is now August 8th and we have just received a letter from Allsate stating that they are cancelling our homeowner's insurance policy on September 25th 2007 because we have debris on our lawn or on our porch. We have no idea what they mean by this. Perhaps it is because when the person came in late Autumn my husband was completing some repairs to the porch and doorway. Since then the porch has some plants on it and little else. Our lawn is mostly cleared except for a few trees which we would cut if we were asked to; we would also pay to have other clearing done if this was deemed necessary. If there was a simple problem like "debris" why were we not alerted in advance so that we could rectify it.

Insurance companies have succeeded in making it a law that I have homeowner's insurance and 100 foot clearance, but in order to maximize their profits even more they are going to attempt eliminate any and all risks (even if by informing their customers these risks could be reduced to an acceptable level).

From this experience it is clear to me that these inspections clearly are NOT about risk reduction for consumers and certainly NOT a service to consumers they are about maximixing profits for insurance companies -- the consumer be damned.

[Tracy]

I absolutely agree with this. In fact I need to consider some of the "shrubs" or ugly plants next to my house.......