If you’re a Brooklyn property owner, you’ve noticed a trend that hasn’t stopped: Insurance rates for multifamily apartment buildings have skyrocketed, rising nearly 20 percent annually for the past few years.
But why is this happening? Let’s break it down:
Climate Impact
Extreme weather isn’t just Florida’s problem. Rising flood risks and severe storms are driving up insurance costs across Brooklyn.
Construction Costs
Material and labor costs are soaring. This affects both renovation budgets and insurance premiums, as repairs become more expensive.
Historic Buildings
Brooklyn’s cherished old buildings come with risks. Aging plumbing and electrical systems mean costlier repairs and higher insurance rates.
Property Values
Despite market fluctuations, Brooklyn’s high property values mean more expensive insurance coverage.
Legal Trends
More property damage claims and lawsuits mean higher legal costs for insurers – costs that get passed to homeowners.
However, there are rays of hope for property owners. Here are some:
Local expertise
With this complex landscape, local insurance agencies that truly understand Brooklyn’s unique market are more crucial than ever. They can navigate the limited options and potentially negotiate better rates for savvy property owners. Brownstone Agency has been in the borough for 52 years.
The pricing solution
Brownstone Agency’s unique three-year prepaid policy stands out as a beacon of stability. By locking in your rate for three years, you can shield yourself from these annual hikes that are rattling so many Brooklyn property owners.
To protect your investment and potentially realize significant savings, reach out to Brownstone Agency. Inquire about their three-year rate-lock policy and discover how you can secure comprehensive coverage at a stable rate.
