Mississippi High Risk Homeowners Insurance

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High Risk Homeowners Insurance In Mississippi

Mississippi: A Land of Beauty and Risks

Mississippi, located in the southeastern United States along the Mississippi River, boasts a rich history, diverse culture, and stunning natural beauty. However, living in this vibrant state comes with inherent risks, some rooted deeply in its past, others brought on by its geographical location.

Historical Context:

Mississippi was deeply affected by the Civil War, impacting its economic and social development. Poverty and limited resources remain challenges today.  The state has always had a strong agricultural dependence, leaving it vulnerable to fluctuations in commodity prices and natural disasters which lead to thousands of homeowners insurance claims annually.

Geographical Risks:

Flooding: Mississippi sits within the Mississippi River Alluvial Plain, prone to frequent and devastating floods. The Great Mississippi Flood of 1927 remains a stark reminder of its vulnerability.

Hurricanes: Located on the Gulf Coast, Mississippi faces seasonal hurricane threats, bringing high winds, storm surge, and torrential rain. Hurricane Katrina (2005) and Hurricane Isaac (2012) inflicted widespread damage.

Tornadoes: The state sits near "Tornado Alley," experiencing more tornadoes per square mile than any other state except Texas.

Home Insurance Risks:

These geographical risks translate into high home insurance premiums in Mississippi. The most likely causes of insurance losses include:

Flood: The primary driver of claims, accounting for a significant portion of total losses. Rising river levels, flash floods, and storm surge contribute to frequent flooding events.

Wind: Hurricanes and tornadoes cause widespread damage to roofs, siding, and structures.

Hail: While less frequent than wind, hailstorms can cause significant damage to roofs and windows.

Severe thunderstorms: Lightning strikes, heavy rain, and high winds can lead to flooding, roof damage, and power outages.

Largest Home Insurance Events:

Hurricane Katrina (2005): Caused over $60 billion in insured losses in Mississippi, devastating coastal communities and leaving widespread destruction.

Tornado outbreak (2011): A series of tornadoes ripped through the state, generating over $6 billion in insured losses and impacting numerous counties.

Hurricane Isaac (2012): Caused widespread flooding and wind damage, leading to over $2 billion in insured losses.

Understanding these risks and taking mitigation measures, like flood insurance and storm shutters, can help protect your home and mitigate potential losses.
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Unable to Obtain Coverage?

Many consumers opt to allow their mortgage companies to add “force placed” or “lender placed” coverage to their homes. The unfortunate issue is that many times the mortgage companies do not make it clear that typically these policies  do not cover your personal property, loss of use or even your liability. They are typically insurance policies that the consumer pays for, that mostly benefits a bank and not them. It is without a doubt that mortgage forced policies are the lease safe option in the market.

Since FAIR Plans are considered the market of last resort, consumers will be best served when they find an agent with the experience in high risk insurance as well right resources and carriers. Ultimately the end goal is to obtain the right coverage at a competitive price and with the right agent that can be accomplished in almost any situation.
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**The contents of this website are provided for informational purposes only and do not constitute legal or coverage advice or an offer or solicitation for the sale or purchase of insurance. If you submit a request for a quote you will be contacted by a licensed agent who can discuss coverage options with you. Consumers are urged to try to find coverage in the private market and we can help you find an agent that can help you find alternatives to the FAIR Plan and other high risk plans. This website is no way affiliated with or sponsored or endorsed by any federal, state or local governmental agency or state fair plan. Insurance coverage not available in all states. **
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