Home insurance firm Hippo has announced it will expand home builder access to its New Homes Program in California, Florida, and Texas by the end of the year.
Hippo’s New Homes Program expects to provide access to insurance for almost 50,000 additional new homes, which accounts for more than a third of new construction permits in 2023, according to the US Census Bureau.
Market veterans Perry Homes and Van Daele have joined the Hippo New Homes Program, which also has the backing of four of the top twenty homebuilders in the US as it plans to partner with more to expand its access to other states.
Hippo’s New Homes Program provides home builders access to insurance products designed for new homes from a panel of carrier partners.
New Homes Program carriers simplify the underwriting process by only using information about the house to issue policies that typically provide lower deductibles and more flexibility than a standard homeowner’s policy.
Given the historically lower risk associated with new construction and based on average state premiums, Hippo and its carrier partners can offer policies for new homes with premiums as much as 69% lower in California, 42% lower in Florida, and 56% lower in Texas than policies for an existing home.
Rick McCathron, President and Chief Executive Officer (CEO), Hippo, commented, “In recent years, many of our home builder partners have struggled to find a consistent insurance solution for new homes in California, Florida, and Texas.
“These three states are home to some of the hottest residential new construction markets in the country, and our growth marks the beginning of a nationwide expansion of Hippo’s New Homes Program.”
Todd Chachere, CEO, Perry Homes added, “Hippo’s New Homes Program provides our Perry Homes customers with multiple quotes, helping us deliver the customer experience our buyers deserve. Finding homeowner insurance is an important part of the customer’s journey, and Hippo’s New Homes Program provides a simple process despite insurance challenges in the Texas and Florida markets. Hippo’s New Homes Program allows us to focus on building quality homes and providing superior customer service to our Perry Homes customers.”
Abiding by the terms of the partnership, Hippo’s homebuilder partners gain access to a scalable, embedded insurance solution that streamlines the closing process for sales teams, lenders, and homebuyers by automating the evidence of the insurance process.
Lisa Pereira, Vice President of Sales & Marketing, Van Daele Homes, concluded, “Over the last few years, it’s become increasingly difficult for buyers to secure homeowners insurance in California. Hippo’s New Homes Program addresses that issue and is another example of our commitment to delivering an unparalleled homebuyer experience.”
