The Catastrophic Loss
A catastrophic loss is a loss where a large number of people are affected and that results in a large number of homeowner claims in one area. In California homeowner insurance companies rate on the claims that an insured has had within a three year period. If you have a loss that is considered a catastrophic loss then the homeowner insurance company will dismiss the loss and not increase rates for that particular loss. In order for a loss to be considered catastrophic there has to be multiple people that are impacted by the same occurrence. Homeowner claims do have an impact on your rate and your eligibility. Insurance companies have standards in place with maximum loss amounts and maximum claim frequency. Some companies will not even accept an insured for a policy even if they have one claim within the last three years depending on the type of claim. To learn more see our home insurance page. Request your quote online today or call 530.421.8111 License 0G13612.
