Maine has been hard hit by storms and flooding over the past year, with five disaster declarations in 2023 and two more so far this year. And hurricane season has just begun.

Extreme weather events in Maine and across the country have fueled rising property insurance rates. In addition to natural disasters, rates have been affected by higher costs for labor and materials, as well as rising real estate values, all of which affect the cost of replacing damaged property.

Despite recent rate increases, Maine continues to have lower property insurance premiums than most other areas of the country, but that may be cold comfort for homeowners hit with double-digit rate increases. Here are a few things homeowners can do to reduce insurance premiums and protect their property.

First, talk to your insurance broker or agent to see if there are more affordable options. Shopping around can save you money. Keep in mind, however, that if you change insurance companies, your new insurer has 90 days from the start of the policy to cancel the policy for any reason. So, it might not be worthwhile to change insurers if it will only save a small amount of money.

Second, your agent can also check for discounts, such as “bundling” opportunities (using the same insurer to cover your home and auto) and certain upgrades to your home. You may also consider increasing your deductible to lower your premium.

Third, check to see if your homeowner’s policy contains a water damage exclusion, as this is a standard provision that exempts the insurer from covering flood-related damage. When a storm surge destroyed a deck and shed belonging to a homeowner on the coast, their claim was denied due to their policy’s exclusion for flood, surface water, waves, and tidal water.

Consider buying flood insurance. Last year, homeowners along the Kennebec and Androscoggin rivers – among other areas of the state – suffered severe property damage from flash flooding. Much of this damage was not covered by homeowners’ insurance.

Good property maintenance is also advised. This year, a homeowner in the Midcoast region was denied coverage for water damage because it was determined that the damage was due to improper window installation which allowed the intrusion of water into the home. Damage caused by a defect in the property, wear and tear, rot and mold were excluded under the policy.

Finally, you should be proactive about removing rotten trees or other hazards that may cause a loss during a storm and ask your neighbors to do the same. Recently, a property owner on the coast had her claim denied after an adjoining property’s dock broke free during a storm and smashed into her wharf. The property insurance policy did not cover damage from “waterborne material carried or otherwise moved by water.”

If you have questions about homeowner insurance or other types of coverage or would like to learn more about your insurance options, contact your broker or agent. You can also check with the Maine Bureau of Insurance, a reliable source of information on insurance and insurance companies in Maine.

Shop around for coverage, review your insurance policy’s coverage and exclusions, consider purchasing flood insurance and maintain your property. These steps can save you money and help protect your home, which is often our largest single investment.

Natural disasters are occurring with increasing frequency and severity. Be sure to protect yourself, your family and your home.