Is Rising Supply Costs Affecting Your Home Insurance Policy?
Long story short: Yes. If your home gets hit by a natural disaster, like a hurricane or tornado or fire, your insurance company should be able to provide "replacement coverage." However, with the continual increase in building supply costs, like glass or wood, your policy may not cover the amount of money you would need to get the job done.
View this cause and effect formula:
CAUSE --- COVID-19 created shortages in building materals
EFFECT --- The law of supply and demand dictates that the price of building materials increase to support the lack of supply. Rise in building costs means a rise in construction. project costs.
PROBLEM --- Even though consturction project costs increased, all of the insurance policies remained the same. They were not increased to match the supply and demand crisis.
Typically we are seeing the issue with new construction homes taking longer than usual to get built and for much higher prices. “We’ve seen some pricing increases anywhere from 3 to 5%, maybe even to 6% with some insurance carriers,” Felsen said. “I’ve never seen rebuilding costs escalate this much, if it used to cost $300,000 to rebuild a house, now it might cost $350,000.”
With Florida in the middle of rainy season, and dodging tropical storms and hurricanes left and right, now is the time to review your insurance policy.
"Homeowners should go over their policies and discuss any changes with their insurance agent. When renewing an insurance policy, it is important to reassess each time. Don’t just take the automatic renewal. Talk to your agent and review your policies,” Felsen said.
View this cause and effect formula:
CAUSE --- COVID-19 created shortages in building materals
EFFECT --- The law of supply and demand dictates that the price of building materials increase to support the lack of supply. Rise in building costs means a rise in construction. project costs.
PROBLEM --- Even though consturction project costs increased, all of the insurance policies remained the same. They were not increased to match the supply and demand crisis.
Typically we are seeing the issue with new construction homes taking longer than usual to get built and for much higher prices. “We’ve seen some pricing increases anywhere from 3 to 5%, maybe even to 6% with some insurance carriers,” Felsen said. “I’ve never seen rebuilding costs escalate this much, if it used to cost $300,000 to rebuild a house, now it might cost $350,000.”
With Florida in the middle of rainy season, and dodging tropical storms and hurricanes left and right, now is the time to review your insurance policy.
"Homeowners should go over their policies and discuss any changes with their insurance agent. When renewing an insurance policy, it is important to reassess each time. Don’t just take the automatic renewal. Talk to your agent and review your policies,” Felsen said.
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Jennifer Springer Rinden
BROKER BB3239152,B3502427
Jennifer Springer Rinden
BROKER BB3239152,B3502427
After spearheading the marketing divisions of several major corporations, Jennifer transitioned her focus to Southwest Florida real estate. As the Broker of Orchid Realty International, she brings her expertise in business development and strategic marketing to leading her team.
Consistently recognized with achievement awards for top performance by the company and Bonita Estero Board of Realtors, you can expect a unique experience when you work with Jennifer and her selectively curated team of real estate marketing and customer service professionals. Orchid’s platinum-level client service and results-driven strategic Media Marketing approach are the realization of Jennifer’s vision to refine the way real estate is transacted.
Intimately involved in the local communities and well versed in each area’s unique features, her preference is a personalized consultative approach to working with buyers and sellers. Carefully she aligns a cohesive targeted strategy for each client designed specifically to meet their real estate goals.
Jennifer earned a Bachelor of Science in Marketing from Northern Arizona University and an MBA with an International Business concentration from the University of Wisconsin. She is associated with the luxury brand Who’s Who in Real Estate and is active in supporting the Fight Against Human Trafficking.
As a golfer and tennis player, Jennifer easily adapted to the Southwest Florida lifestyle after relocating from Appleton, Wisconsin. On her free time, she often strolls along the beach with her five-year-old twin boys and attends concerts with her husband who shares her love of music.
Jennifer is currently ranked as one of the top agents by Bonita Springs-Estero Association of REALTORS and was recently featured in Top Agent Magazine for her innovative marketing techniques, her unwavering commitment to assisting home buyers, and her dedication to helping Southwest Florida homeowners sell their homes for top prices.
Languages – English, Spanish
Consistently recognized with achievement awards for top performance by the company and Bonita Estero Board of Realtors, you can expect a unique experience when you work with Jennifer and her selectively curated team of real estate marketing and customer service professionals. Orchid’s platinum-level client service and results-driven strategic Media Marketing approach are the realization of Jennifer’s vision to refine the way real estate is transacted.
Intimately involved in the local communities and well versed in each area’s unique features, her preference is a personalized consultative approach to working with buyers and sellers. Carefully she aligns a cohesive targeted strategy for each client designed specifically to meet their real estate goals.
Jennifer earned a Bachelor of Science in Marketing from Northern Arizona University and an MBA with an International Business concentration from the University of Wisconsin. She is associated with the luxury brand Who’s Who in Real Estate and is active in supporting the Fight Against Human Trafficking.
As a golfer and tennis player, Jennifer easily adapted to the Southwest Florida lifestyle after relocating from Appleton, Wisconsin. On her free time, she often strolls along the beach with her five-year-old twin boys and attends concerts with her husband who shares her love of music.
Jennifer is currently ranked as one of the top agents by Bonita Springs-Estero Association of REALTORS and was recently featured in Top Agent Magazine for her innovative marketing techniques, her unwavering commitment to assisting home buyers, and her dedication to helping Southwest Florida homeowners sell their homes for top prices.
Languages – English, Spanish
After spearheading the marketing divisions of several major corporations, Jennifer transitioned her focus to Southwest Florida real estate. As the Broker of Orchid Realty International, she brings her expertise in business development and strategic marketing to leading her team.
Consistently recognized with achievement awards for top performance by the company and Bonita Estero Board of Realtors, you can expect a unique experience when you work with Jennifer and her selectively curated team of real estate marketing and customer service professionals. Orchid’s platinum-level client service and results-driven strategic Media Marketing approach are the realization of Jennifer’s vision to refine the way real estate is transacted.
Intimately involved in the local communities and well versed in each area’s unique features, her preference is a personalized consultative approach to working with buyers and sellers. Carefully she aligns a cohesive targeted strategy for each client designed specifically to meet their real estate goals.
Jennifer earned a Bachelor of Science in Marketing from Northern Arizona University and an MBA with an International Business concentration from the University of Wisconsin. She is associated with the luxury brand Who’s Who in Real Estate and is active in supporting the Fight Against Human Trafficking.
As a golfer and tennis player, Jennifer easily adapted to the Southwest Florida lifestyle after relocating from Appleton, Wisconsin. On her free time, she often strolls along the beach with her five-year-old twin boys and attends concerts with her husband who shares her love of music.
Jennifer is currently ranked as one of the top agents by Bonita Springs-Estero Association of REALTORS and was recently featured in Top Agent Magazine for her innovative marketing techniques, her unwavering commitment to assisting home buyers, and her dedication to helping Southwest Florida homeowners sell their homes for top prices.
Languages – English, Spanish
Consistently recognized with achievement awards for top performance by the company and Bonita Estero Board of Realtors, you can expect a unique experience when you work with Jennifer and her selectively curated team of real estate marketing and customer service professionals. Orchid’s platinum-level client service and results-driven strategic Media Marketing approach are the realization of Jennifer’s vision to refine the way real estate is transacted.
Intimately involved in the local communities and well versed in each area’s unique features, her preference is a personalized consultative approach to working with buyers and sellers. Carefully she aligns a cohesive targeted strategy for each client designed specifically to meet their real estate goals.
Jennifer earned a Bachelor of Science in Marketing from Northern Arizona University and an MBA with an International Business concentration from the University of Wisconsin. She is associated with the luxury brand Who’s Who in Real Estate and is active in supporting the Fight Against Human Trafficking.
As a golfer and tennis player, Jennifer easily adapted to the Southwest Florida lifestyle after relocating from Appleton, Wisconsin. On her free time, she often strolls along the beach with her five-year-old twin boys and attends concerts with her husband who shares her love of music.
Jennifer is currently ranked as one of the top agents by Bonita Springs-Estero Association of REALTORS and was recently featured in Top Agent Magazine for her innovative marketing techniques, her unwavering commitment to assisting home buyers, and her dedication to helping Southwest Florida homeowners sell their homes for top prices.
Languages – English, Spanish