By law, Rochester Hills, MI homeowners do not have to carry homeowners insurance, nor are there any regulations of rates. However, lenders often require homeowners to purchase insurance coverage to protect their investment in your home. But, again, without any state regulation, insurance companies can set their rates without following any established guidelines.
While waiting for reform, call the experts at Guy Hurley McNeil, who understand the importance of homeowners insurance and help get you the coverage you need.
Relevance of Home Insurance Reform
Many states, such as Florida and Colorado, have created changes in how insurance companies operate. Changes include regulating how much homeowners pay for their insurance coverage. However, Michigan does not have many guidelines or requirements in place for purchasing home insurance policies. Ultimately, insurance companies are not regulated by the state, and because of this, Michigan residents may not be as impacted by insurance reform as residents in other states.
Michigan Homeowners Insurance Laws
Homeowners insurance is not required by law in Michigan. Because of this, insurance agents must guide and advise Rochester Hills, MI, residents about the different types of coverage to fit their homeownership and insurance needs. However, those financing a home, townhouse, or condominium may be required by the lender to carry a homeowners insurance policy.
Possible changes associated with home insurance reform include new regulations to protect both lenders and homeowners. Protection for lenders may impose penalties for borrowers who do not carry a homeowners insurance policy while mortgaging their home. Protector for homeowners may include premiums being regulated, including setting an amount policies can increase each year.
Those with questions about home insurance reform should call the experts at Guy Hurley McNeil to determine how they could be affected.