Insurance premium doubled from last year

Hello there.

From last year to this year, our home insurance premium nearly doubled. It went from around $2,100 to a little over $4,000. When we called to ask why, they told us the increase was due to a state mandate and rising costs — specifically the price of materials, labor, and the overall cost to rebuild the home. They said since replacement costs are higher now, they have to increase the premium accordingly.

Is this normal? Is this something that just happens?

Last year was our first year owning a home, so this is all new to us. Because of the insurance increase, our mortgage payment went up almost $300 a month. Our mortgage company says it’s the insurance company’s doing, and the insurance company claims we already have the cheapest coverage in the area.

I just want to know — is this a normal situation homeowners experience? Or is this something we should expect (and worry about) every year?