Are MS Coast homeowner insurance rate hikes easing? What experts, records say

Rate hikes on homeowners insurance appear to be easing in Mississippi, particularly along the Coast, where premiums have grown to rival house payments for some residents.

“It’s getting better,” said Andy Case, director of property and casualty rating for the Mississippi Insurance Department.

As a general rule, Case said, rates aren’t coming down, “but it does appear to be stabilizing, finally.”

But the insurance department has approved one big hike — an average of 17.2% for dwelling policy renewals — that took effect in January for state wind pool policies. The wind pool, insurer of last resort for six South Mississippi counties, covers wind and hail damage for property owners unable to find coverage in the private market.

The hike follows an average wind pool rate increase of 14.8% for homeowner policies in 2024.

“We’re catching up, to be very honest,” said Durr Boyles, the wind pool’s executive director. “These two rate increases have basically gotten us to where we’ll break even. I’m losing a little bit still, but I’m going to address that with my expenses internally.”

Case said the market for reinsurance has improved, which should bring some rate relief. Insurance companies buy reinsurance to help cover their losses from major hurricanes and other catastrophes.

“Re-insurance is a HUGE factor in rates and that’s especially true on the Coast since, for some companies, reinsurance can make up to 70% of the rate charged by the insurer to the policyholder,” Case wrote in an email. “ . . . As a regulator, I’m happy to see rates stabilizing, but I’m particularly eager to see the coming reinsurance markets in the next three months and how that may translate to reduced rates at the policyholder level in the coming year.” Where HO insurance rate hikes stand

Major insurance carriers regulated by the state, including State Farm and Nationwide, no longer write policies on homes south of Interstate 10, but other companies have stepped in to offer coverage.

They include Coastal American Insurance Co., which is actually reducing the cost of dwelling coverage by an overall 19% for new business, beginning Monday, and for renewals starting April 1. However, the company indicates its dwelling policies offer less extensive coverage than its homeowner policies do.

Other rate hikes shown in monthly rate filing bulletins that the insurance department has posted since July include: * Allstate Insurance Co.: 6% overall rate increase, started Jan. 19 for new business, starts March 5 for renewals. * Shelter Mutual Insurance Co.: 13% overall rate increase for the Homeowners Platinum Shield program now in effect. * Travelers Personal Insurance Co.: 7.9% overall increase for Quantum Homeowners 2.0 program now in effect. * American Strategic Insurance Corp.: 12.45% overall increase now in effect. * Safeco Insurance Co. of America: 4% overall rate increase now in effect. Insurance companies tighten rules on roofs

In addition to high premiums, Mississippi homeowners are contending with stricter rules insurance companies are setting. Companies tend to balk at insuring shingle roofs that are more than 10 to 15 years old because, they say, roof shingles don’t hold up as long as manufacturers like to claim.

The nonprofit Institute of Business and Home Safety has set up roof farms that test the durability of roofs composed of various materials. Case said insurers are trying to get out of “the new roof business.”

“The struggle is very real,” said Angelia Clark, president of the Gulf Coast Association of Realtors. “It’s very difficult right now.” She said a 10-year-old roof is old to an insurance company. Rates are lowest on homes with roofs that are five years old or less, she said.

A roof considered in poor condition could mean a higher deductible, refusal of coverage, or actual cash value rather than replacement cost if a covered peril damages the roof.

Policyholders also can generally save money if they invest in a fortified roof when they do re-roof their homes. IBHS has trademarked its FORTIFIED roof program, which includes a sealed roof deck, stronger edges and better attachments. The nonprofit, supported by the insurance industry, offers training for installers and certification after inspection that can be used to secure discounts.

While Alabama and Louisiana have grant programs that provide funding to help homeowners with the cost of re-roofing to FORTIFIED standards, Mississippi has yet to adopt one. The Legislature is again this year considering bills that would include roof grants.

© 2026 The Sun Herald (Biloxi, Miss.). Visit www.sunherald.com. Distributed by Tribune Content Agency, LLC.