Can't Get Homeowners Insurance Because of Claims History

Multiple claims in your homeowners insurance history create coverage difficulties, but there are alternatives. Even the best home insurance providers may decline coverage after multiple claims. With independent agents, FAIR Plans and specialty providers, you find coverage despite claim history, though premiums are higher and options more limited. Consider these strategies:

Filing multiple or high-cost homeowners insurance claims raises red flags for insurers. A history of frequent claims signals higher risk, which may lead to increased premiums, stricter policy terms or denial of coverage. Insurers use your claims history to predict future risk and adjust your rates or eligibility accordingly.

Insurance companies don't look at your claims history forever. Most insurers review the past five to seven years when deciding whether to approve coverage or set your premium. Older claims eventually fall off your record and stop affecting your eligibility.

Multiple claims close together make it difficult to get homeowners insurance coverage, but the impact isn't permanent. Over time, as claims drop off your record, you qualify more easily for standard coverage by avoiding new claims and maintaining continuous insurance.

Your claims history isn't the only factor that leads to rejection when applying for homeowners insurance. Various other elements, such as the condition of your property, its location and even certain personal factors, influence insurers' decisions. Here are other reasons why you might face challenges in obtaining homeowners insurance:

Understanding these factors helps homeowners take proactive steps to improve their chances of obtaining insurance, such as maintaining their property, managing personal risks and addressing any specific issues that might make their home less appealing to insurers.

FAIR Plans catch homeowners who can't get insurance anywhere else—usually because they've filed too many claims or live in high-risk areas.

States created these insurance pools in the 1960s to guarantee every property owner can buy basic coverage. You'll get far less protection than standard policies deliver. FAIR Plans cover:

• Fire Damage: Fire-related losses, the foundation of most FAIR Plans
• Smoke Damage: Smoke-related losses, usually tied to fires
• Windstorm Damage: Wind-related losses in hurricane and tornado zones
• Hail Damage: Hail-related losses, common across many regions
• Explosion: Explosion-related losses, less common but serious
• Riot or Civil Commotion: Losses from riots or similar chaos
• Aircraft Damage: Losses from aircraft, rare but covered
• Vehicle-Caused Damage: Property losses from vehicle impacts
• Vandalism and Malicious Mischief: Intentional property destruction

Qualifying for FAIR Plans is essential for homeowners who cannot secure traditional insurance. While these plans are designed for those deemed high-risk, not all high-risk homeowners are automatically eligible for coverage. FAIR Plans have specific criteria that must be met:

Each state runs FAIR Plans differently. These differences mirror each region's risk profiles and regulations. Research your state's specific rules and talk to local insurance professionals about eligibility and the application process.

Being denied coverage because of your claims history doesn't mean you'll never qualify again. Insurers want to see that you can manage risk responsibly, and small changes over time make a big difference. By following the steps below, you gradually improve your chances of getting approved for standard homeowners insurance.

• Maintain Continuous Coverage: Never let your coverage lapse, even if you're stuck with a high-risk provider or FAIR Plan. Insurers want to see steady coverage without gaps.
• Avoid Filing Small Claims: Pay for minor repairs yourself to keep new claims off your record. Fewer claims over time prove you're less risky.
• Improve Your Credit Score: Insurers check your credit when deciding whether to cover you. Better credit scores make you look more reliable.
• Invest in Home Maintenance and Safety: Replace old systems, fix wear and tear, and install safety features to prevent future claims. These upgrades attract insurers and might cut your premiums.
• Review Your Claims History for Accuracy: Check your insurance reports regularly and challenge mistakes. Fixing wrong information fast boosts your chances of getting coverage.

Homeowners insurance denial due to claims history is frustrating, but there are alternatives. Other providers, FAIR Plans and independent agents help you find coverage despite claim issues. Understand your denial reasons and reduce future risks to improve your chances of standard insurance approval.

These answers address common questions about homeowners insurance denials and coverage alternatives after claim issues.

Getting denied homeowners insurance because of claims history doesn't mean you're out of options. We analyzed quotes from multiple providers to show you what coverage actually costs when you have a challenging claims record, and which companies are more likely to work with you.

Our Research Approach

We sourced quote information from Quadrant Information Services and state insurance departments, analyzing rates from major insurers nationwide. This research helps you understand realistic pricing expectations and identify insurers that may approve coverage despite your history. Even with past claims, you deserve to know which companies offer competitive rates and which charge excessive premiums.

Homeowner Profile

We created a sample homeowner profile representing someone rebuilding their insurance eligibility:

• Good credit score (769 to 792), showing that maintaining good credit helps offset claims history
• Home constructed in 2000, a typical age that most insurers will cover
• Wood-frame construction, standard building type
• Composite shingle roof, common roofing material that meets insurer requirements

Homeowners Insurance Coverage Details

We tested these coverage limits to show what you'll actually pay:

• $250,000 in dwelling coverage
• $125,000 in personal property coverage
• $200,000 in personal liability coverage
• $1,000 deductible

These limits represent adequate protection for most homes. We also compiled data for policies with broader coverage to identify the best companies for insuring expensive homes, with limits of $1 million in dwelling coverage, $500,000 in personal property coverage and $1 million in liability coverage.