Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I know quite a few people who self insure. They are all wealthy and live in multi-million dollar homes. I guess, they’ll be fine losing the money.

Seems fine for the truly wealthy, but for the average middle class or UMC even, it doesn’t seem worth the risk to me.

+1. I can't imagine not having homeowners' insurance, even though I hope to never make a claim.

You’re lucky you’ve never had an issue. We lost our insurance because our baby Yorkie nipped an elderly woman in the shin. She had thin skin and it was painful. Her kid called a lawyer and sued. He dealt with the insurance company and got $25,000. Our insurance company told us to get rid of our dog or they are canceling our policy. We obviously kept our dog and then had to get what they call insurance of last resort for uninsurable people run by the government. Cost a lot more.

Anonymous wrote:We don’t have homeowners insurance. It is priced based on average risk, plus a profit margin for the company. I am much more careful than the average person - always clean the dryer lint etc - so my house is much less likely to be damaged than the average person’s house. So it would be a net negative for me to purchase i.

Ok....so the $6-8K you save per year will replace the $200K+ of damages if a tree lands thru your home during a rain storm, damaging most of the contents of your home? What about if it burns to the ground, along with everything in it? No matter how careful you are, that stuff can and does happen.

Seems risky

Instead a smart person takes a high deductible and doesn't file claims unless it's catastrophic

Anonymous wrote:I know quite a few people who self insure. They are all wealthy and live in multi-million dollar homes. I guess, they’ll be fine losing the money.

That’s as stupid as self insuring medical. Multi-million dollar houses are no longer rare and I can’t imagine a financially savvy person not buying homeowner’s insurance.

Anonymous wrote:Tonight I learned that a family friend doesn’t have homeowners insurance. They own their home outright so it’s not required.
This is the first time someone know irl has disclosed this. I’m shocked. It seems like such a risky way to live.
I’m curious if anyone on here knows someone like this, or is this way themselves.

Yes, it is definately a very risky way to live. A fire, water damage, storm damage, etc is often out of your control. And could lead to total destruction, besides the land/foundation. Also, the contents of the home can be a lot. Ours is well over $350K of belongings when you include artwork, and contents.

We have homeowners for major disasters. Wouldnt' file a claim unless it was $30-50k+ of damages. But if we had that, I'd want insurance to payout

Anonymous wrote:

Anonymous wrote:We don’t have homeowners insurance. It is priced based on average risk, plus a profit margin for the company. I am much more careful than the average person - always clean the dryer lint etc - so my house is much less likely to be damaged than the average person’s house. So it would be a net negative for me to purchase i.

I’m a really careful driver so I guess I should drop my auto insurance…

It's the law in nearly every state to have car insurance.

Anonymous wrote:We don’t have homeowners insurance. It is priced based on average risk, plus a profit margin for the company. I am much more careful than the average person - always clean the dryer lint etc - so my house is much less likely to be damaged than the average person’s house. So it would be a net negative for me to purchase i.

Yup. A tornado can't do any damage when your lint filter is clean. It also prevents lightning strikes and power surges.

Sounds like a maga thing to do.

Anonymous wrote:Home insurance has become so incredibly expensive for some florida and California residents that they are no longer buying home insurance.

My parents in FL have homeowners insurance, but their deductible is 30k. Meaning they'd only be able to use the homeowners insurance if their house had a major loss or needed a new roof. They live 9 miles from the beach I think, not close.

Anonymous wrote:Home insurance has become so incredibly expensive for some florida and California residents that they are no longer buying home insurance.

And I hope that not one dollar of my taxes goes to pay to build them new homes.

Absolutely idiotic to do this unless you are very wealthy.

I owned a condo outright and didn't have homeowners insurance. It's a bit different though because the condo carried insurance for the exterior of the structure (roof etc), condo insurance would have just paid for walls in. There was a fire in our electrical busway and we were without power for 9 weeks. Not having condo insurance meant I had no where to live while my condo was uninhabitable. I had a dog though, so it wouldn't have helped much. My neighbors with dogs had no where to go, even though their homeowners insurance paid for a hotel. Even hotels that allowed dogs didn't allow you to leave them there while you went to work all day.

Anonymous wrote:We don’t have homeowners insurance. It is priced based on average risk, plus a profit margin for the company. I am much more careful than the average person - always clean the dryer lint etc - so my house is much less likely to be damaged than the average person’s house. So it would be a net negative for me to purchase i.

You’re an idiot. Wait till a healthy tree falls over in a freak storm, which we had inspected every year. Hope you’ve got $65k for that—the amount we got from insurance. It didn’t cover the $6K we also paid to take the tree trunk down because insurance doesn’t care about that. They only covered the branch that hit the house removal.

Anonymous wrote:Home insurance has become so incredibly expensive for some florida and California residents that they are no longer buying home insurance.

That's why we have FEMA. /s

Home insurance has become so incredibly expensive for some florida and California residents that they are no longer buying home insurance.

Anonymous wrote:

Anonymous wrote:I know quite a few people who self insure. They are all wealthy and live in multi-million dollar homes. I guess, they’ll be fine losing the money.

Seems fine for the truly wealthy, but for the average middle class or UMC even, it doesn’t seem worth the risk to me.

+1. I can't imagine not having homeowners' insurance, even though I hope to never make a claim.