KINGSTON, Jamaica — Home insurance premiums in Jamaica have surged in recent years, leaving many pensioners and working families unable to afford coverage for their properties. Experts say the combination of global reinsurance shocks, increased natural disaster risks, and widespread underinsurance has created a “perfect storm” for the local insurance market.
Insurance Out of Reach for Many
For homeowners who have already paid off their mortgages, the situation is particularly difficult. Without the benefit of bank-negotiated group rates, many are forced to seek independent coverage at higher retail prices. Some, unable to manage the steep monthly costs, are choosing to forgo insurance altogether — a risky decision in a country vulnerable to hurricanes and earthquakes.
Industry sources indicate that fewer than 50 per cent of homes in Jamaica are insured, and a significant number of those are under-insured. This means that in the event of damage, payouts may be reduced under the “average c…
