What if I am ineligible for homeowners insurance?

You may be considered ineligible for homeowners insurance under Michigan law if:

  • Within the past 5 years you have been found guilty of arson or of an attempt to commit arson, the use of explosives, or destroying property.
  • Within the past 5 years you have been denied payment by an insurer of a claim under a homeowners insurance policy based on evidence of arson, fraud, or conspiracy to commit arson or fraud.
  • The property you want to insure is used for illegal or dangerous purposes.
  • Taxes on the property you want to insure are 2 or more years past due.
  • You refuse to buy the minimum amount of coverage required for the type of policy you want.
  • Your home has a physical condition which presents an extreme likelihood of a significant loss under a homeowners insurance policy.
  • Within the past 2 years your home insurance has been canceled because of non-payment of premium, unless you pay the entire premium in full before the issuance or renewal of the policy.
  • A company requires you to be a member of a group, club, or organization and you choose not to join or maintain membership.
  • The value of the property you want to insure does not meet the minimum requirements for the type of policy you want to buy.

If you find that you are ineligible for homeowners or renters insurance, you may ask your agent to apply to the Michigan Basic Property Insurance Association (MBPIA). The MBPIA was created by the state legislature to provide homeowners insurance to persons who cannot find insurance in the regular market. Any licensed agent can help you obtain insurance through the MBPIA.

For more information, please review the following consumer publications:

Homeowners Insurance: Are You Eligible?

The Michigan Basic Property Insurance Association