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Horace Mann Home Insurance Review

Horace Mann Home Insurance Review

Horace Mann Home Insurance Review

Horace Mann, part of the Horace Mann Insurance Group, is an Illinois-based insurance conglomerate that provides a range of insurance policies for educators and teachers, from private saving/retirement insurance to home and auto insurance. Horace Man has been in business for nearly 80 years, and it retains its roots in the town it was founded. Horace Mann is a publicly-traded company and it’s one of the largest insurance companies in the Midwest, currently employing over 1,400 people and a network of 600 independent agents.

Company Overview

Horace Mann specializes in providing insurance to educators: professors, school administration employees, and educators who seek tailored insurance policies. Horace Mann services are made to cater to educational institutions. Horace Mann was founded by 2 Illinois professors in the year 1945; they sought to provide educators with affordable auto insurance and supply educators insurance needs. The company started out offering auto insurance policies but quickly grew to offer home insurance and other bundle options. Horace Mann’s main insurance policies are home, automotive, life insurance and umbrella insurance policies. Horace Mann retains its education-insurance roots, and currently offers a number of insurance policies for educators. Horace Mann provides insurance for classrooms, provides classroom funding, loan assistance for students, workshops and more. The company optionally insures annuities and IRAs under their financial insurance policies.

Horace Mann started expanding outside of Illinois in 1945. It was acquired by a Pennsylvania-based financial conglomerate called The Insurance Company of North America – INA in 1974. The company was then merged with Connecticut General in 1972, and the group became known as CIGNA. An investor last acquired the company from CIGNA in 1989, and the company IPO’d on the U.S. stock exchange in 1991. It is currently traded on the market under the name HMN. Horace Mann made a number of acquisitions since it became a publically traded company, in 1994 they acquired a California property insurer called Allegiance Insurance Company.

Horace Mann does not sell their policies directly online but through a network of independent agents. Clients have to enter their zip code to find a list of agents in their vicinity. Most agents selling Horace Mann work in education or are former educators. Horace Mann has 2 main claim offices outside of Illinois – Irving, TX and Morrisville, NC. Horace Mann is located in Springfield, IL.

Horace Mann home insurance policies are available for the following:

  • Homeowners
  • Condominium unit owners
  • Renters/tenants

Financial Ratings

Horace Mann is a financially stable company, it was rated by all major financial institutions. A.M. Best, one of the largest financial institutions responsible for rating insurance companies based on their financial stability rated Horace Mann A – Excellent – it’s second-highest positive rating. Moody’s rates Horace Mann A – Excellent and outlook – stable while the company is listed on the Better Business Bureau and has an A+ rating for financial stability and low customer complaint ratio. Horace Mann has access to $250M in funding for claims payouts.

HO-3 Homeowners Plan

Horace Mann offers a standard HO-3 policy that provides coverage for the following: home, side structures, personal liability, medical liability, loss of use and optional added perils. Clients have only one basic package to choose from with few discounts for newer homes and loyal customers. Horace Mann’s HO-3 provides coverage for the following:

  • Home. The main dwelling is protected against all perils: natural disasters, accidental damage, home invasions, vandalism, etc. Clients are allocated the highest % of their coverage plan for repairs and replacements. Clients can optionally negotiate an increase in their coverage.
  • Side structures. All side-structures on the client’s property are insured: detached garages, visitor’s homes, decks, sheds, animal houses/barns, sports playgrounds, boat docks, etc. Side structures receive lower coverage than the main home, however, if a client wishes to insure a side structure for higher % coverage they can increase it by inquiring.
  • Personal property. All belongings inside the house are automatically insured. This includes clothing, furniture, electronics, kitchen appliances, silverware, AC units, garage equipment, etc. There are few limits on claims as most high-value items (items costing $10K USD) which have to be insured separately.
  • Legal and medical liability. The company insures clients for liability from lawsuits and medical payments. If a client caused damage to a neighbor’s property, the company will help settle the dispute and reimburse clients for all legal fees. If anyone is injured in the home, the company will bear all medical expenses incurred. This policy extends to family and visitors.
  • Loss of use liability. If a client’s home is uninhabitable for the duration of the repairs, the company will pay their living expenses such as hotel rental, food, bills and more.

Add-Ons

The following add-ons are available for the standard plan:

  • Increased value coverage. If a client has high-value items in their home such as gold watches, designer clothes, precious metals, cash, antiques, or more – they can insure them separately and this policy can be added to the main HO-3 policy.
  • Refrigerated goods. If a client wishes to insure their food against spoilage, they can receive up to $1,000 in food losses by adding this optional policy.

Discounts

Horace Mann currently offers 4 discounts for their HO-3 plan:

  • New home discount. If the house is in brand new condition or built during the last 10 years, the client is eligible for a decrease in their premiums.
  • Security equipment discount. If a client’s house is equipped with security equipment such as sprinklers or security motion cameras, they are eligible for a discount.
  • Bundle policy discount. If a client chooses to combine their HO-3 policy with an auto insurance policy, they are eligible for a discount.
  • Loyalty policy. Horace Mann’s loyalty policy is activated at the start – if a client switches their current home insurance to Horace Mann’s HO-3 plan, they are eligible for a discount.

Customer Reviews

Horace Mann receives overly positive reviews and few negative reviews. Clients emphasize that they have low premiums which offer savings compared to other insurance companies. Their customer service is deemed as reliable and top-notch; many clients say they were guided through the process and had a pleasant time signing up with the company. Some reviews say they could claim multiple discounts at once.

Negative reviews for the company are by clients who found their claim’s process too slow – for homeowners; some say there is a waiting period even if the client has been with the company for a long time. Clients say they took a while to respond to homeowner emergencies. Few also claim the company increases premium prices after they’re up for renewal, even if the client had no history of claims.

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