Montana Legislators Pursue Study to Address Rising Homeowners Insurance Costs

Montana is experiencing significant challenges in its homeowners insurance market, with rising premiums, insurance companies pulling out of certain areas, and non-renewal of policies causing concern among consumers and policymakers.

The Montana Legislature is prioritizing a comprehensive study mandated by resolution HJ 61 to examine the causes of increasing insurance costs and to develop long-term strategies to improve affordability and availability. Current data on homeowners insurance in Montana is scarce, outdated, or non-specific, which hampers effective policymaking and consumer awareness.

A recent Federal Insurance Office report highlighted that homeowners insurance rates nationwide are increasing faster than inflation, particularly in high-risk ZIP codes affected by wildfires, but Montana did not participate in this data collection, resulting in limited state-specific insights. State Auditor and Insurance Commissioner James Brown has acknowledged the severity of rising insurance costs in Montana and has supported legislative efforts to make insurance more affordable and equitable.

The article advocates for Commissioner Brown to initiate a detailed data collection call on homeowners insurance similar to one undertaken recently in Idaho, to supplement the legislative study and provide transparent, detailed information to guide public policy and consumer actions.

The goal is to mitigate the insurance affordability crisis that impacts Montana residents’ ability to own homes and run businesses by equipping legislators with robust data and actionable recommendations.