Why insurance rates are rising: a local perspective

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The insurance industry is facing massive financial strain due to natural disasters, and the numbers at a local level put things into perspective.

Here in Transylvania County, the average home price is $443,000, and there are 19,401 households. With the average homeowner’s premium at $1,790, insurance companies collect about $34 million annually in premiums.

Now, let’s consider a worst-case scenario: a wildfire sweeping across the county, destroying all homes. That would be a $8.6 billion loss for the insurance industry. With only $34 million collected per year, it would take 250 years to recover from such a disaster.

What This Means for Homeowners:

➡ Higher premiums – as companies adjust pricing to manage risk.
➡ Stricter coverage limits – making it harder to get full protection.
➡ Possible eligibility restrictions – meaning some homes may become uninsurable.

This is why we’re seeing increasing rates and shifts in coverage options—not just here, but nationwide. If you have concerns about your policy, now is a great time to review your coverage and understand your options.

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