While weather related claims are the most common insurance claims for homeowners, The 2018 LexisNexis® Home Trends Report indicates that non-weather events such as burst water pipes, fires (from appliance failures or electrical problems), and other human-caused events account for a number of losses. Even though non weather related water claims continue to increase, the good news for both the industry and policyholders is that non-weather claims in general are on the decline.

Key non-weather related findings include:

  • Water (Non-Weather Related) – While the frequency of claims increased by 19 percentage points from 2016 levels, claim severity remained relatively stable in 2017.
  • Theft – Several factors may contribute to the continuing trend toward declining Theft loss cost, including an improving economy, the increasing availability of affordable home alarm systems, and growth of connected home technology.
  • Liability – The industry continues to see a favorable trend with Liability loss cost and frequency declining steadily.
  • Other Perils – Loss cost due to Other Perils increased slightly from 2016 levels. Perils in this category include physical damage not included elsewhere, extended coverage, damage to property of others, medical payments and more.

By using aggregated by-peril data found in the Home Trends Report, home insurance carriers can achieve a deeper understanding of the risk associated with a particular location. Click here to download the interactive 2018 Home Trends Report.

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