A California homeowner searching for relief from rising insurance costs found a homeowners quote about $1,400 a year cheaper than their typical provider. But the lower price came with a very different risk profile, including a separate $25,000 wildfire deductible.
Here's what to know
In Reddit's r/HomeInsurance, the homeowner shared the side-by-side pricing after saying Travelers had raised their premium again — this time by $1,200 to $3,990. A new quote from a different provider was for $2,620 but with higher deductibles, so they wondered if it was truly worth the switch.
"It's not much savings, and I also get a multi policy discount through them," they said.
The lower Coverage B amount was also a concern with the cheaper quote, since the property has a large yard and significant landscaping.
More background
The discussion suggested the decision was more complicated than the premium gap alone. As one commenter put it, "You didn't get an apples-to-apples comparison," noting that an important difference was how the two policies would handle personal property losses.
"Never go ACV on personal property," one commenter wrote.
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Another explained that going ACV — or "Actual Cash Value" — rather than Replacement Value can mean a lower claim payment because belongings can lose value.
"You'll be out a ton of money in depreciation," they said.
One commenter also addressed the homeowner's landscaping. They said Coverage B typically covers detached structures such as fences, a garage, or an outdoor kitchen, rather than grass, trees, or plants. Those items, they added, may be covered elsewhere in the policy, and limits are often based on a share of dwelling coverage.
That distinction mattered because the landscaping itself represented substantial value. The OP said they had "probably over $100k worth of mature palm trees and birds of paradise trees."
What can be done?
For homeowners considering an insurance switch, a key question is whether a lower-priced quote still provides enough protection to make the savings worthwhile.
In this case, the most common advice was to ask for a revised quote that aligns with the Travelers policy more closely, so the homeowner can compare the same deductible setup, endorsements, and loss-settlement terms.
Commenters also said to confirm the policy form and exactly how personal property would be settled. Because the post involved California-specific risks, someone suggested asking about water backup coverage and earthquake pricing.
Where can I learn more?
The coverage questions in this case fit into a bigger story unfolding across California's insurance market, with rising costs and increasing risks causing headaches for policyholders.
• Homeowners faced 400% insurance rate hikes as insurers pulled back from fire-prone communities in California.
• A California couple saw home coverage canceled by State Farm just before a wildfire destroyed their house.
• In wildfire-ridden California, a major insurer stopped offering coverage to new homeowners.
• Iowa's insurance commissioner warned that California wildfires affect premiums far beyond the state's borders.
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