Home Inflation Driving Up Loss Costs For Home Owners

Property owners are facing inflation pressures. The National Home Builders reported in December 2021 that prices of goods used in home construction climbed 0.9%. Building material prices increased 13.5% year to date, after increasing 5.1% during the same period in 2020. Prices have been erratic. Lumber prices reached the highest of about $ 1,500 per 1,000 board feet. Rising prices are driving premium increases. The retail brokerage said 85% of policy holders saw a premium increase.