Homeowners In Several States Could See Double Digit Percent Insurance Increases

Homeowner insurance rates could see double-digit percentage increases after a string of natural disasters rocked the nation over the last year.

The two main root causes for the increases are severe weather and natural disasters, according to a data forecast released by Insurify, The Hill reported. “Severe convective storms, which can conjure tornadoes, hail, and other perils, have wrought damage across the U.S. in recent years, particularly in the Midwest and Great Plains states,” the report reads. “These storms caused more than $52 billion in insured losses in 2025, the third-highest total on record, behind only 2023 and 2024.”

For instance, Nebraskans  experienced one notably destructive storm last year where “softball-sized” hail rained from the sky, penetrating car windows and puncturing home sidings. (RELATED: Wildfire Threat Increases In Plains Due To Strong Winds, Warm Temperatures; State Of Emergency Declared In Kansas)

Over on the West Coast, Southern California wildfires also caused $250 billion in damages in 2025.

(EDITORS NOTE: COMPOSITE IMAGE of 2192943469 – TOP IMAGE and 2253868575 – BOTTOM IMAGE) In this before-and-after composite image, a comparison of images from the Eaton Fire: **TOP IMAGE** ALTADENA, CALIFORNIA – JANUARY 08: Wind pushes embers into a home as the Eaton Fire moves through the area on January 08, 2025 in Altadena, California. Fueled by intense Santa Ana Winds, the Palisades Fire has grown to over 2,900 acres and 30,000 people have been ordered to evacuate while a second fire has emerged near Eaton Canyon in Altadena. (Photo by Justin Sullivan/Getty Images) **BOTTOM IMAGE** ALTADENA, CALIFORNIA – DECEMBER 18: A property that was destroyed by the Eaton Fire nearly one year ago sits vacant on December 18, 2025 in Altadena, California. The destructive and deadly wind-driven Eaton Fire ripped through Altadena, California, on January 7, 2025, killing 19 people and destroying more than 9,000 structures. The fire is the fifth deadliest and the second most destructive wildfire in California history. (Photo by Justin Sullivan/Getty Images)

Apollo Global Management’s insurance arm was the second-biggest borrower last year in the Federal Home Loan Bank system https://t.co/1ibssWut30

— Bloomberg (@business) March 25, 2026

“The states projected to see the largest rate hikes in 2026, Insurify data scientists say, are California (16%), Nebraska (13%), New Mexico (11%) and Georgia (10%). The forecast comes a year after these states saw rates rise sharply: Minnesota (34%), Colorado (33%), Iowa (28%), Nebraska (25%), Oklahoma (24%) and South Carolina (20%),” The Hill continued.

Researchers at Florida State University said these stark increases of up to 10% in the Sunshine State are projected to cause a 4.6% decline in housing prices.  (RELATED: Trump Should Crackdown On Unsuspecting App Driving Up Housing Costs)

Home insurance in Florida is by far the most costly of all 50 states, Insurify data said.

Insurance rates have increased over the last five years, especially for residents in the most impacted states listed above.

This has really flown under the radar with all of the inflation out there for food and other items.

Home insurance prices are just going insane everywhere in the past three years.

My own payment on my fixed rate mortgage has increased by $400 per month in the past 4 years. Part… https://t.co/NCBMtg8pvO

— Wall Street Mav (@WallStreetMav) May 25, 2024

To lower costs, many homeowners across the country are lowering their levels of coverage to save money.

On the other hand, some states will experience cuts in home insurance costs.

The following states are projected to decrease by 2%: Hawaii, Massachusetts, Maine, Louisiana and Rhode Island, The Hill said.