Tracking Extreme Weather and COVID-19 Impacts on U.S. Home Insurance Claims

As we all know too well, 2020 was full of unpredictable events. Disastrous storms, wildfires and COVID-19 impacted almost every segment of our lives. The unpredictability of nature forced us to spend more time at home and adapt to disruption all around us. 

The theme of the sixth-annual 2021 LexisNexis® Home Insurance Trends Report is tracking the unpredictable. Highlights from the report include:

• All loss cost perils combined increased by 6% in 2020.
• Extreme weather drove the proportion of catastrophe losses up 40% from 2019.
• Louisiana had the highest loss cost in the nation due to a devastating hurricane season.
• Wind loss cost increased by 63% in 2020, the highest it has been in six years.
• Liability and Theft loss costs decreased by 53% and 25% respectively, likely a result of COVID-19 restrictions.

Given the unpredictability of weather-related patterns and their impact on catastrophe claims, it is critical for carriers to understand how by-peril trends are changing over time. Insights from a more comprehensive dataset can help carriers assess and price risks more accurately – and find opportunities to better meet customer needs with innovative products and services.

Download the report to get actionable insights that can help you make the best decisions – now and into the future.