What Home Insurance Fees Does Kin Charge?

Depending on where you live, you may see the following fees: EMPA, FIGA, installment fees, inspection fees, and surplus contributions.
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Most insurance policies come with mandatory fees, and we want to be as transparent as possible about the charges you might find in your policy. Depending on where you live, you may see the following fees: EMPA, FIGA, installment fees, inspection fees, and surplus contributions. Let’s take a look at each.

EMPA Fee

When you buy a policy from Kin and you’re a Florida resident, you will see a flat $2 fee in your premium breakdown. This is the EMPA fee.

This fee only applies to policyholders in Florida. By state law, a flat $2 for each Florida homeowners insurance policy sold must go toward the Emergency Management, Preparedness, and Assistance Trust Fund. This fund helps pay for emergency management activities (e.g., when a big hurricane hits and the state must quickly assist citizens).

If you have a taste for legal jargon, you can read up on the statute .

Once the policy is issued, the fee has been fully earned and is non-refundable, even if you cancel the policy shortly thereafter.

FIGA Fee

The Florida Insurance Guaranty Association, or FIGA, is an organization established under Florida law that protects property and casualty insurance policyholders by handling any outstanding claims if their insurance company goes out of business. Sometimes FIGA needs additional funds to resolve outstanding claims, so it periodically requires member insurance companies to collect fees from their policyholders.

FIGA has decided it needs to impose a fee in 2022 to cover the cost of claims left behind by the insurance companies that went bankrupt in 2021. The cost to you is 0.7 percent of your total homeowners insurance premium, not including other taxes and fees. If you choose to pay your premium in installments, then the total fee will be added to your first payment.

As required by law, this FIGA fee:

  • Begins on January 1, 2022.
  • Applies to every new or renewing Florida home insurance policy with effective dates from January 1 through December 31, 2022.
  • Only lasts through December 31, 2022.

FIGA doesn’t enact these fees every year, so next year could be different. You may see the same FIGA fee or one that requires a different percent of premium, but there may also be no FIGA fee at all in 2023.

Installment Fees

If you opt to pay your premium in installments – typically, the options are 1, 2, or 4 installment payment plans – installment fees apply. The amount of the fee varies by state to account for transaction costs. In Florida and Louisiana, it’s $3 per installment and in California, it’s $7 per installment.

Inspection Fees

Most home insurance companies, especially those in catastrophe-exposed states, require a home inspection to ensure the home doesn’t have existing damage and that it meets underwriting requirements. We make this super easy by offering self inspections in Florida and Louisiana that cost $15. But if you want an inspector to come to your house, an exterior inspection costs $25 and an interior and exterior inspection costs $57.

In California, exterior inspections are $24, exterior and interior inspections are $44, and if you have a high-value home, the inspection is $175. A wildfire inspection is $64.

Surplus Contribution

When you buy a policy from our carrier – the Kin Interinsurance Network – the policy includes a surplus contribution. This fee is approved by Florida regulators and is 10 percent of your premium. It’s used for claims and carrier operating costs only – we don’t make any money off of or take a percentage of this contribution.

In fact, a surplus contribution can save you money over time. The more reserves we have to pay claims and cover operating costs, the lower we can keep our prices.

This fee is refundable on a prorated basis if the policy is canceled.

Our fees are never hidden – we want you to know exactly where your money goes. If you have additional questions, feel free to send them our way at marketing@kin.com.

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