2025 Current Insurance Trends

Staying up to date with the current trends will keep you covered in an ever-evolving world.  Here is what is trending & things to watch for in 2025:

1. Personalized Coverage through Data and AI
Insurance companies will leverage artificial intelligence (AI) and advanced analytics to offer tailored policies based on customer data. This includes pricing policies based on your driving habits and lifestyle needs. Data will come from your car, smart phones, and smart devices placed in your home.

2.  Increased Focus on Cyber Insurance
As cyber threats grow, cyber liability insurance will become a key product for businesses of all sizes. Policies will offer more robust coverage for data breaches, ransomware, and compliance violations. And small business will be a target because many don’t have the proper security.

3. Health Insurance Evolution
ACA plans, like the ones Tillman Insurance is offering, will become more appealing with enhanced subsidies and broader access. Expect telehealth and mental health coverage to remain significant selling points.

4. Technology-Driven Claims Processing
Automation and AI will streamline claims processing, reducing time and improving accuracy. Mobile apps will allow customers to file claims, track progress, and receive payouts faster than ever.

5. Expansion of Parametric Insurance
Parametric insurance, which pays out based on predefined triggers (e.g., specific weather conditions), will gain popularity in sectors like agriculture, travel, and events.

6. Homeowners Insurance Premium Increases
With the increase in storms and natural disasters around the country, the home insurance carriers in many states may increase premiums and adjust home values to meet the increase in cost of construction.

Youthful Driver Education: Safety and Savings Tips

Adding a teen driver to your policy? We understand it’s both exciting and nerve-wracking.

Here are practical tips to ease your nerves:

• Driver Safety Courses: Enrolling your teen in a defensive driving course can lower insurance rates.
• Choose the Right Car: Vehicles with advanced safety features can lead to discounts.
• Track Driving Habits: Consider telematics programs that reward safe driving behaviors.
• Money Saving Tip: Have the teen drive an older and safe car that you can put on with liability only for the first 1 – 3 years.

Important Update for NC Drivers: Starting July 1, 2025, North Carolina will change the youthful driver surcharge to could impact your premium. Drivers obtaining their licenses for the first time on or after July 1, 2025, will face an increased inexperience period. This period will extend from three (currently) to eight years, meaning that new drivers may encounter higher insurance premiums for a longer duration. Now is the perfect time to ensure your policy is optimized for your family’s need. Don’t let your teen driver wait!.