Insurance Rates Soaring? This Three-Year Lock Could Save You

"Natural disasters hit hard. When storms, fires, and floods strike urban areas, insurance companies face massive payouts for repairs. This triggers a chain reaction: The major insurance companies that back up local insurers (reinsurers) raise their rates to cover mounting losses. Local insurance companies then pass on these higher costs to building owners. With catastrophic weather events becoming more frequent, especially in coastal regions, these costs keep accelerating."

"Insurance companies are leaving the market. Many insurance carriers have stopped covering apartment buildings because they're losing money on these policies. With fewer companies offering coverage, the remaining insurers can demand higher premiums. Building owners, particularly in dense urban areas, now have limited options and must accept whatever rates they can find. This market consolidation has created a simple reality - fewer insurers mean higher prices."

"Property owners face increasing exposure to liability claims, and courts are ordering larger settlements when someone gets hurt on their property. From slip-and-falls to security incidents, these cases cost insurance companies more each year. To maintain profitability, insurers charge higher rates and require stricter safety protocols from building owners. There's a solution. As Brownstone Agency 's president John Simone explains, these challenges require innovative solutions. Brownstone Agency offers a unique three-year prepaid policy that locks in today's rate through 2027, protecting owners from future increases."

Multi-family insurance rates have risen about 20 percent annually over the past two years. Natural disasters force reinsurers to raise rates, which local insurers pass on to building owners, accelerating costs. Many carriers have exited the apartment market, reducing competition and allowing remaining insurers to charge higher premiums. Rising liability claims and larger court awards increase insurers' payouts, prompting higher rates and stricter safety requirements for owners. Brownstone Agency offers a three-year prepaid policy that locks in current rates through 2027 to shield building owners from further rate increases.

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