Why Homeowners Insurance Goes Up? 
Many homeowners policies have a provision that adjusts the amount of coverage each year to reflect the increases in cost of construction . This will add about 3 % to the premium each year . Your home ages by one year every year . Many companies have a factor tied to the age of the home which increases the premium slightly . If the company has paid a claim on the policy there may be an increased based upon an experience factor . Occasionally the fire rating for a certain geographical area will change which also affects the premium . The company could experience losses in excess to the total premiums in which case they can file an overall rate change with the state insurance commissioner . 