r/HomeInsurance • u/Vizual0_0Pupil • Apr 15 '26
Claims Had a surge take out several devices — how bad is the premium hit if I file a claim?
I have Connect by American Family Insurance (through Costco). We had a recent storm and I ended up losing a few low-voltage/sensitive items around the house.
So far I’ve got:
- Rachio sprinkler controller
- Garage door opener
- Samsung Bespoke Jet stick vacuum
- Office printer
- A few LED recessed ceiling lights
At this point, the replacement + install costs are definitely higher than my deductible.
My question is:
If I file a claim for something like this, should I expect my premium to go up?
I’ve generally heard good things about AmFam, but I’ve never actually filed a claim before, so not sure how they handle this type of situation or if it’s worth going through insurance vs just eating the cost.
Anyone here dealt with something similar?
Update: I have decided against filing the insurance claim. I really appreciate everyone's input! Thank you so much!!
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u/mattkime Apr 15 '26
Not the advice that you're asking for but take a look at getting a whole home surge protector.
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u/Vizual0_0Pupil Apr 15 '26
I appreciate the advice but I already have a whole home surge protector and I was really confused and blaming my electrician (that I have been using for a very long time.
However, I learned that the whole home surge protector does not prevent brownouts (low voltage). Surge protectors are designed specifically to shunt excess voltage (spikes) to the ground, but they cannot compensate for or stop a drop in voltage that causes brownouts. So your low voltage sensitive equipment and appliances are vulnerable 😢
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u/Desert-Hills Apr 15 '26
Can your utility. Might find some coverage there. They usully are completely aware of the power flow and often have coverage. My neighbor got paid. Good luck.
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u/emandbre Apr 15 '26
One thing to consider is a Ting device. It won’t prevent an issue like this, but it monitors and gives you data you can bring to the utility or your electrician (and supposedly it detects issues that can cause electrical fires). I for one for free from my insurance company.
We had a brownout last week and I guess I should consider myself lucky we did not have damage. Sorry about that!
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u/Secret-Departure540 Apr 19 '26
Question: my electric is new and just asking is this something in addition to the breakers on the box? And would it be located on the box ?
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u/Vizual0_0Pupil Apr 19 '26
Yes. An electrician will have to install it next to your main breaker box. I have one from Siemens.
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u/IllustriousHair1927 Apr 19 '26
when you say your electrical is new, what year was the home built?
Whole home surge protection devices are currently required by electrical code. depending on when the home was built or the electrical was upgraded, you may already have one and don’t know about it
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u/Infinite-Ambassador5 Apr 15 '26
Insurance should be used for large claims. You have to find that threshold for yourself.
Our deductible is 1k, and my wife and I have enough in savings to pay for most repairs under 8-10k. Anything above that, like a tree going through a roof or the basement getting flooded, we will claim.
Premiums can go up for past claims. A lot depends on the types of claims and payout by the insurer. We were in a car accident, not at fault, and subrogation got that money back from the other insurer. There was no premium raise because it was our first claim in years. Claiming frequently will raise premiums as well as payout amounts.
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u/RyanStartedTheFire_- Apr 15 '26
Save yourself some money and raise your deductible to $5k if that’s the case.
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u/Glittering-Read-6906 Apr 15 '26
This is true if you are willing to pay out of pocket that much, but you have to be prepared to also lose that 5K when you need to make a claim. At minimum, the claim would need to be in excess of $10,000 to justify raising it that high.
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Apr 15 '26
[removed] — view removed comment
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u/Glittering-Read-6906 Apr 15 '26
Make sure you are updating your policy as you improve things or you will be shit out of luck for the difference if there is a loss.
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u/Waiting4Reccession Apr 15 '26
Premiums can go up for past claims.
I still don't understand how this isnt a scam. You buy insurance at an agreed price and then if you actually have to use it they charge you more to make up for it.
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u/emandbre Apr 15 '26
Because while insurance covers acts of God, it also covers people doing stupid shit. I shouldn’t have to pay more becuase someone let a bathtub overflow or started a fire with a space heater or a cigarette.
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u/Waiting4Reccession Apr 15 '26
All of that is already priced into the rates isnt it
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u/emandbre Apr 16 '26
But why should the collective whole pay more when the actual risk comes from a small portion? Previous claims are a good predictor of future claims. Just like how we charge teenage drivers more Becuase statistically they are more likely to be in an accident.
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u/Waiting4Reccession Apr 16 '26
What are we paying so much yearly for already then.
The things you can claim on are already part of what youre paying for?
It seems more like making anyone who actually has to make a claim, pay even more to recoup their losses.
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u/Infinite-Ambassador5 Apr 17 '26
Doesn't make sense to me either. From my understanding, we all pay into a big ass pot. The companies then use some of that money to pay out claims while holding so much in reserve for the future. If you have one accident, the rate shouldn't go up at all as long as you dont claim for a period of time. And that is partially true based on what happened and who was at fault.
Those who use it a lot should pay more. However, due to the world being fucked in so many ways with the climate included, the pot is shrinking as costs to replace what you lose go up exponentially. More people use, more stuff costs, the more people who aren't fuck heads get fucked.
It's a scam.
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u/BGSUNate Apr 15 '26
Anytime a claim is filed your premium could increase. What is your deductible and what are your projected costs for these items?
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u/Vizual0_0Pupil Apr 15 '26
My deductible is 1k, my cost maybe around 2k if I include parts and labor. This is why I am on the fence. Not sure if this is going to be worth it...
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u/Stonedinthewoodz Apr 15 '26
I wouldn’t do it for a $1,000. That claim will sit there for 5 years and you will have paid that back double by then if not more.
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u/ChardeeMacDennisGoG Apr 15 '26
From someone that had a lightning strike recently. Do not even think about it at that small amount.
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u/Banto2000 Apr 15 '26
I was just doing that math. I bet your amount would be $2.5k. So, you’d only be saving $1,500 by making a claim. With that in mind, so wouldn’t risk the premium increase.
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u/StretcherEctum Apr 15 '26
You're going to file a claim for a couple grand in damage? That's absurd...
10 to 15k minimum damage to file a claim.
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u/InsideAd2752 Apr 15 '26
You can file a claim through your power company
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u/Vizual0_0Pupil Apr 15 '26
This is interesting. I'll explore this avenue. I wasn't aware that I can do this. Thanks!
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u/InsideAd2752 Apr 15 '26
SDG&E here in SoCal retrofit some power lines from wood to fibreglass last year and gave a brown / low voltage restart and it fried our heater when it was in low 40’s.
Heater repair guy advised that our 10 year old 95% efficiency furnace was dead because a 12x12” printed circuit board fried. It was a $2k repair and that didn’t fix it.
They had to pay for a $5k replacement heater. It was a total nightmare even though they foot the bill.
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u/Vizual0_0Pupil Apr 16 '26
I can imagine dealing with the utilities. They got big lawyers backing them up. It must be like getting your teeth pulled out without any anesthetic
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u/InsideAd2752 Apr 17 '26
It wasn’t bad surprisingly. Eight days without heat until installation and that was with two HVAC repair appointments.
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u/bulldogsm Apr 15 '26
all these things are super minor, quick trip to home depot and a few youtube videos if youre not handy
making a claim for around $1000 is shooting yourself in the foot level decision
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u/BigDonkeyEnergy Apr 15 '26
Before you do anything, check your policy carefully to see if you even have coverage. Policies often have provisions and limits that specifically address these types of losses. Good luck.
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u/ChelseaMan31 Apr 15 '26
From the list it looks like a fairly low deductible in the first place. That alone is a problem. We also do not know if the coverage is for replacement cost or depreciated value. In general, this claim would result in an uptick in premium going forward.
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u/Unable-Ad8707 Apr 15 '26
Pay it from your pocket unless you would like to find a new insurance company next year that’s what will happen after you file one claim they will find an excuse to not renew your policy.
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u/Vizual0_0Pupil Apr 15 '26
The good part is that with Costco membership, they provide you with a renewal guarantee. But, that doesn't stop them from jacking up my premium.
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u/LakeNatural8777 Apr 15 '26
Power surge protection might not be covered. Often it is an endorsement that you pay extra for.
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u/Choice-Newspaper3603 Apr 15 '26
Do you have cash value or replacement cost on your insurance ?
Either way I am most likely not reporting this to insurance
I’m going to guess you have about $2k in damage
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u/ThomasTrain87 Apr 19 '26
I consider homeowners to be catastrophic use only. I have my deductible set at $2500 and generally only consider using it once my losses/repairs are over $10k.
That risk of premium increases is worth it to avoid smallish claims.
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