Hugh Allen | Source | Principal Product Strategist at Hi Marley

Hugh predicts that 2025 will see insurance carriers adjusting rates due to "extreme weather risks and trade tariffs affecting auto parts." Key indicators include vehicle costs, part availability, and environmental factors. These elements will shape the landscape of auto insurance pricing.

Hugh highlights differences between NFIP and private flood insurance. NFIP offers standardized coverage, while private plans provide higher limits and flexibility. Pricing varies, with private insurers often cheaper for low-risk properties. Basement coverage is limited, focusing on structural elements, not personal property. Hugh advises, "It's crucial to shop around and compare NFIP and private options to determine the best fit for your needs."

Hugh highlights the immediate response to LA fires, including CAT teams and ALE coverage. He warns, "Consumers in California can expect to pay even more for insurance." The industry will gather data to refine fire catastrophe models, potentially influencing state regulations.