SC home insurance rates may surge due to hurricane season 2025. Here’s how much, ways to lower cost
Home insurance rates in South Carolina could spike this year if the predicted above-normal Atlantic hurricane season comes to pass, a new report shows.
The recent report from Insurify predicts that South Carolina will be the state with the fourth highest chance of experiencing a major hurricane this year, raising home insurance and overall annual costs as a result. Insurify made its report in response to predictions of an above-normal Atlantic hurricane season for this year.
But despite the threat of rising prices from storms, there are steps South Carolina homeowners can take to mitigate costs.
SC key findings
Insurify notes that extreme rainfall and coastal storm surges from Atlantic hurricanes have damaged the Palmetto State over the years. The report adds that, according to the South Carolina Department of Insurance, “reinsurance rates have surged in response to insured losses from natural disasters globally and insurers have raised rates to compensate.”
The only states ranked above South Carolina in likelihood to be hit by a major hurricane this year are Florida, Texas and Louisiana.
Below is a breakdown of the report’s predictions for South Carolina in 2025:
- Major hurricane probability: 10% (25% above average)
- Named storm probability: 66% (16% above average)
- Projected insurance increase in 2025: 4%
- Projected annual premium cost by the end of 2025: $4,172
Hurricane season forecast
Colorado State University’s annual early hurricane season forecast predicts 17 named storms and nine hurricanes this year.
Of the 17 named storms predicted this year, the researchers forecast nine to become hurricanes and four to reach major hurricane strength of Category 3 or higher, with sustained winds of 111 mph or greater. The team also predicts that hurricane activity this year will be about 125% of the average season 1991-2020. In comparison, hurricane activity in 2024 was about 130% of the average season.
There have been three named storms so far this season, all of which have been tropical storms.
Hurricane season began on June 1 and will last through Nov. 30.
Tips to reduce hurricane insurance costs
Below are ways to help lower hurricane insurance costs, according to Lupton & Inc. Insurance, Insurify and realtor.com.
- Make home improvements and upgrades such as adding a new roof and storm-resistant windows. Insurers may reward risk mitigation with lower premiums.
- Combine homeowners, flood, windstorm and auto insurance from the same company to potentially get discounts on premiums and simplified billing claims.
- Choose higher deductibles to lower premiums in the long run.
- Compare rates among providers to find the best deal.
- Document your possessions to accurately assess their value. This information can make sure you aren’t overpaying for coverage.
- Build up your credit score, which, when higher, may qualify you for insurance discounts.
- Increase security to mitigate theft and vandalism during hurricanes.
- Consider paying out of pocket for minor damage to avoid rate increases.
Methodology
To determine average home insurance premiums and informed cost projections, Insurify analyzed its real-time database of insurance quotes from partner carriers, along with aggregated rate filings from Quadrant Information Services.
Analysts looked at the historical relationship between a state’s prior five years of personal home insurance industry-wide loss ratios and how much its average home insurance rates changed the following year. They then projected how much rates will rise or fall in every state in 2025 based on the most up-to-date home insurance loss ratio data.
The report also includes the Colorado State University hurricane season forecast listed above.
