We're here to demystify nonrenewals, explain why they're happening, and offer clear, actionable advice for what you can do about it. Knowledge is power, and we're here to empower you.

Understanding Nonrenewals

An insurance policy is a contract between you, the insured, and the insurance company. Each of these contracts has a set term length that indicates the time period in which the agreement is valid. This term is typically a specific six- or 12-month range. Each time the term comes to an end, the insurance company has the choice to adjust the agreement, usually by way of a change in pricing, in order to be sure that the policy still makes financial sense for them. At this time, the insured can choose not to continue the relationship and seek coverage elsewhere. The insurance company can also choose to end the relationship by issuing a nonrenewal. This basically means that the insurance company is not offering an option to renew the policy and that the insured will need to find coverage elsewhere.

Why Nonrenewals Happen

Many people assume that every insurance company wants to keep every policy they can, so why would they issue a nonrenewal? The answer can be based on a number of factors. Sometimes the decision is based on changes in that particular company's preferred client. They may have decided to remove policies in your zip code, county, or property value range. The decision could be based on unexpected weather or disaster patterns in your area over the past few years.

Sometimes nonrenewals are a result of individualized variables like an increase in claim frequency, changes in the insured property (like the roof on your home going from being 19 years old to 20 years old), or even inconsistent payment history. Either way, if your policy is not renewed, understand that the insurance company has their own reason for doing so.

Navigating a Nonrenewal

So, you’ve received a nonrenewal notice. Please take a deep breath, and rest assured that Goosehead has got you covered and is ready to shop for a new carrier on your behalf.

  1. Understand the Reason: Whether it's a market trend or something more personal, knowing the "why" can guide your next steps. Your carrier should have sent you a letter with more information, or your Goosehead Insurance agent can help you find out why.
  2. Explore Your Options: We've already started this part, and your agent will contact you soon with new insurance options. You can also contact your agent using the contact information in your email.
  3. Review and Adjust: Sometimes, addressing a nonrenewal is as simple as making a few tweaks to your policy or improving your risk profile. Your agent will let you know if this is the case.

At Goosehead, we understand that navigating nonrenewals can feel overwhelming. We take nonrenewals head-on and proactively shop the market as soon as we find out our clients are impacted. Whether you're facing broad challenges or individual hurdles, we're here to help you confidently find the path forward. Because when you're well-informed and prepared, managing your insurance becomes a shared journey toward certainty and peace of mind.

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