Homeowners Insurance Risks Every Homeowner Must Know in 2025

Rising Risks for Insurers = Higher Risks for Homeowners

The U.S. insurance industry is under more pressure than ever in 2025. Natural disasters are increasing in frequency and severity, while the cost of materials and labor to repair homes has surged. These factors are creating a ripple effect nationwide, leading to higher premiums, stricter underwriting guidelines, and in many cases, homeowners being dropped or denied coverage.

For homeowners, this is more than just an inconvenience. Since homeowners insurance is a requirement for mortgage approval, limited or denied coverage has become a real estate transactional risk that didn’t exist just a few years ago.

One of the steps I now recommend for buyers is checking the insurance claims history of a property (past 7 years) before making an offer. A home with multiple past claims may lead to higher insurance costs or even denied coverage for the next owner. Homeowners insurance risks 2025

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1. Avoid “Zero-Dollar” Claims

Many people don’t realize that simply calling your insurance company’s claims department—even if you don’t actually file a claim creates a record of a “$0 claim.” These records can still negatively impact your ability to get coverage in the future.

✅ Pro tip: Always consult your insurance agent first before contacting the claims department. They can advise whether filing is worthwhile and help protect your eligibility.

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2. Consider Raising Your Deductible

Insurance carriers are now closely reviewing the number of claims filed. Filing small claims (around $1,000 or less) is rarely worth it anymore. By increasing your deductible, you can:

• Lower your monthly premium

• Avoid filing small claims that may hurt your coverage in the long run

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3. Roof Age = Coverage Challenges

Roof condition has become one of the biggest pain points for insurers in 2025.

• Most roofs last 30–40 years, but many carriers now refuse coverage if the roof is over 20 years old (sometimes even less).

• This trend is fueled by more frequent storm damage and maintenance concerns.

For homeowners, this means roof age is no longer just a maintenance issue, it’s a coverage issue that can impact your ability to insure (and sell) your home.

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Closing Thoughts

Homeowners insurance in 2025 isn’t as straightforward as it once was. Quick online quotes or call center policies may seem convenient, but they often come with risks, especially if you discover too late that you don’t have the right coverage.

That’s why I strongly recommend working with a trusted insurance professional.

If you’d like to discuss buying, selling, investing, or renting real estate, feel free to reach out to me anytime at Raquel@raquelrealtour.com