Insuring Your Kia or Hyundai Might Be a Challenge: Here's Why
Kia and Hyundai owners, buckle up! You might face some serious roadblocks when shopping for car insurance. Recent years have seen a surge in thefts and vandalism targeting specific Kia and Hyundai models, leaving insurance companies wary and causing headaches for car owners.
Why the Spike?
The problem lies in a lack of engine immobilizers in certain Kia and Hyundai vehicles from past years. This technology makes it significantly harder for thieves to steal a car. Unfortunately, many Kia and Hyundai models from 2011-2021 (Kia) and 2015-2021 (Hyundai) lack this crucial safeguard.
Here's a breakdown of the impacted vehicles:

• Kia (2011-2021): Forte, Optima, Sportage, Soul, Sorento, Rio, and Sedona
• Hyundai (2015-2021): Sonata, Elantra, Tucson, Santa Fe, Accent, Kona, Veloster, Genesis, Palisade, and Venue

What This Means for Insurance
The increased theft risk has insurance companies taking action:

• Soaring premiums: Insurers may significantly raise your rates to cover a car they consider a prime target for theft.
• Coverage denials: In extreme cases, some insurers might flat-out refuse to offer coverage for these specific Kia and Hyundai models.

Limited Options, But Don't Give Up!
While the situation is challenging, there are still ways to navigate this insurance maze:

• Shop relentlessly: Get quotes from a multitude of insurance companies. Rates can vary greatly, so don't settle for the first offer.
• Consider additional security: While even after-market immobilizers and alarms haven't proven entirely effective in deterring these thefts, they might still make you eligible for discounts from some insurers.
• Talk openly with your agent: Be upfront with your agent about your car's model year and the theft risks. They can explore all coverage options and find the best fit for your situation.
• Stay informed: The situation is constantly evolving. Keep an eye out for news on Kia and Hyundai addressing the security vulnerabilities and how it affects insurance rates.

Considering a New Car?
If you're already in the market for a new vehicle, and the insurance hassles and potential cost increases are a concern, you might want to avoid these particular Kia and Hyundai models (2011-2021 for Kia and 2015-2021 for Hyundai) altogether. Newer models may have addressed the security vulnerabilities, but it's always wise to check with your chosen manufacturer and insurance company before finalizing your purchase.
The Bottom Line
Owning a Kia or Hyundai from the impacted years doesn't automatically mean sky-high insurance costs. However, you'll likely face more challenges and require more effort to find affordable coverage. By being proactive, persistent, and staying informed, you can still secure your car and your wallet. But if you're shopping for a new car, consider these insurance realities when making your choice.

A question that our agency heard today, "Why is the rate for this dwelling higher than the home I currently live in which  is worth much more.
Seasonal and rental property insurance rates can be influenced by several factors. Let’s explore some of the key reasons why these rates tend to be higher:​

1. Location. The geographical area where your property is situated plays a significant role. Here are some location-related factors:  ​​​
   
   1. ​Distance from fire department and water hydrant are rating factors.
   2. Urban vs Rural- Urban areas may have higher crime rates, including theft and vandalism, leading to more insurance claims. Additionally, large cities tend to have higher real estate values, which impact construction costs for repairs.
   3. Regional Weather Patterns- Areas with specific weather patterns may experience more significant claims.
2. Rebuild or Replacement Cost. Insurance providers consider the rebuild or replacement cost of your property. Replacement cost refers to the amount needed to rebuild the same house from scratch, while market value includes other factors like land value and neighborhood appeal. It is important to have an insurance professional review the coverage to avoid overestimating or underestimating as this can effect immediate cost or have negative consequences in the event of a future claim.
3. Age and Condition of the Property. 
   
   1. Older Properties: Older homes may have features that don’t meet modern building standards, leading to higher insurance rates. Updating these features can help reduce premiums as discounts may be available for updated systems or a replaced roof.
      
   2. Vacation and Secondary Homes:  The insurance cost for a secondary home is often higher since the owner is not always living there. Having someone occupy the home helps to protect it against risks and deters burglars.
4. Risk Exposure. Properties in areas with rapid economic growth, vacation spots, or retirement destinations face unique challenges. Secondary homes and investment dwellings may take longer before discovery of a claim so the cost paid out will be higher.
5. Bundle vs Package. A primary home will sometimes have more discounts available and is traditionally a more bundled policy. It has been designed to bundle the coverages that a majority of consumers would want resulting in a lower price overall since those coverages are always written. A seasonal or investment dwelling is more of a package policy because there are many more variables as to what is needed so a larger amount of coverage or endorsements are individually selected. Since less are chosen the individual cost is higher.
   

Remember that insurance rates are influenced by a combination of these factors, and each provider may use different criteria to calculate premiums. If you have specific concerns about your seasonal or rental property insurance, consider discussing them with your insurance agent.