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Foremost Home Insurance Review

Foremost Home Insurance Review

Foremost Home Insurance Review

Foremost is one of the largest insurance companies in the United States – founded in 1952, it was acquired by Farmers Insurance Group in 2000 at the turn of the 21st century. Foremost has a track record of providing home insurance policies for nearly 70 years. The company provides a full array of insurance options, ranging from home insurance to auto insurance and business insurance. Foremost provides residential and commercial plans, for property owners and renters. Foremost is sold throughout the United States via a network of more than 38,000 Foremost agents. Their presence is in all 50 states including Washington D.C. Foremost is based out of Grand Rapids, MI. 

Foremost expands its reach continually, offering a variety of home insurance, vehicle insurance and recreational policies that many insurance companies are not willing to take on. Foremost specializes in insurance of high-risk assets such as outdated homes and automobiles. Foremost is the largest auto insurance company in the United States, based on market value estimates. Foremost’s home insurance policies make up for the bulk of their revenue, however. 

Foremost’s parent company, Farmers, owns multiple insurance companies and they are owned by international insurance conglomerate Zurich Insurance Group (ZIG). Foremost retains the highest financial rankings obtainable, owing to the stable finances of its Swiss parent company. It ensures regular homes, condominiums, mobile homes, and commercial properties will receive payouts on time. 

Foremost plans are available for the following:

  • Homeowners
  • Condo owners
  • Mobile homeowners
  • Vacant/2nd homeowners
  • Seasonal home insurance
  • Landlord insurance
  • Flood insurance

Financial Rating

Foremost receives grade-A financial ratings – the company is owned by one of the largest international conglomerates, the Swiss ‘Zurich Insurance Group’ with a perfect financial record. Foremost currently holds an “A” financial rating issued by AM Best, the largest credit insurance agency that rates insurance companies based on their financial standing. Foremost’s near-unlimited finances allow it to insure ‘risky’ properties which other insurance companies actively avoid.

Home Insurance Plans

Foremost has two basic HO-3 insurance plans for homeowners: The ‘Classic ACV’ and ‘Classic CL’ plans.

Classic ACV

Foremost’s main plan – the ACV plan is for older homes that don’t qualify for their standard cost coverage. These homes can be as old as 100 years or more. There are many homes that were built before the 1900s and these homes are impossible to insure, but Foremost guarantees insurance for those homes.

Classic CL

Foremost’s CL plan is ideal for homes that don’t qualify for insurance policies from other insurers – the plan is comprehensive and makes it easy to insure a house.

Foremost’s strategy is to cater to high-risk properties that are rejected by risk-averse insurance companies and service individuals including homes that don’t qualify for standard home insurance. These include virtually every house on the market: older homes, low-value homes, homes with visible cosmetic damage, and even customers with bad credit who were rejected by other insurance companies. Foremost insurance is guaranteed regardless of the client’s financial status or the status of their home.

Foremost Insurance is available for the following:

  • Regular homes that are used as residences
  • Secondary homes that owners purchase as investments
  • Seasonal homes that owners rarely inhabit, such as during the summer season
  • Homes in bad cosmetic condition (minor cosmetic damage, not rundown)
  • Applicants with bad credit histories or previous loss issues
  • Applicants who were denied by other insurance companies or dropped from their insurance company

Note: Foremost bases its payouts on a cash-value policy that is only targeting specific perils. Clients have to review which accidents their policy covers because these can vary, and flood coverage is usually sold separately. Foremost only pays out the cash value of the recovery based on the time the contract was signed that includes estimates based on property age, condition and yearly depreciation.

Foremost plans come with liability coverage, and there are optional add-ons for personal high-value items. The liability coverage covers customers in the event of an accident on the insured property.

Mobile Home Insurance

One of the primary insurance options by Foremost is for mobile homes – the company insures mobile homes of all ages, including outdated mobile homes. Their mobile home package provides liability including coverage for replacement costs/regular perils, there are optional extras such as food spoilage, debris removal, tree/shrub fallout coverage, and more.

Add-Ons

The following can be added to any existing Foremost plan such as the homeowners plans or the mobile home plan:

  • Farm and ranch liability
  • Identity protection
  • Water leaks/damage
  • Earthquake damage
  • Personal belongings

Customer Reviews

Foremost received negative customer reviews for its payouts – the company has near-unlimited funds and yet struggles to provide complete payouts to its customers. Many customers have complained that Foremost tried to low-ball them on their claims, even though they didn’t have a history of filing claims. Foremost is only praised for initial customer service, but not for their assistance once clients make a claim.

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