Introduction to American Strategic Insurance
The American Strategic Insurance has a lot of conflicting reviews online. A lot of homeowners online complain about so many things regarding this company. On the other hand, we have a handful of other individuals with good things to say about the products offered by this company.
So, what exactly should a homeowner expect from such a company? What sort of issues will you have to prepare yourself for should you decide to source your insurance needs from ASI? This comprehensive review should open your eyes to what ASI is all about.
American Strategic Insurance Overview
ASI is a property and casualty insurance company based in Florida. It was founded in 1997. Back then, the company offered insurance services to Florida homeowners alone but its rapid growth enabled them to extend their services to Texas, and within a few years, they had opened their doors to other States. As of 2017, the company had established itself in 40 states
In 2015, Progressive Home bought a big share of ASI’s parent company ARX Holding. Some of the services of this insurer were hence covered under Progressive even though the company retained and continued to operate under its original name. For instance, their products are usually sold under the Progressive agent system.
American Strategic Insurance Products
The company has a strong financial backing thanks to its partnership with Progressive Insurance. This makes it a decent option for both moderate and high-priced homeowners.
ASI offers quite a wide variety of insurance policies. You can get a policy for seasonal or investment homes, single family homes, both renter’s insurance, and coverage, and condo insurance. In Florida, ASI provides flood insurance as an endorsement on the homeowner’s insurance policy. This policy is purchased from National Flood Insurance Program through ASI. Therefore, a flood claim will be made through ASI which should be easier.
One of the several downsides with this insurer is that their website doesn’t provide a lot of details regarding the policies they offer. Most people usually have to consult the provider’s agents to get these details.
A lot of people have also complained about the customer services of ASI. In fact, ASI is among the worst performing home insurance companies when you look at the customer satisfaction ratings. This is due to various factors, but the biggest one of them is perhaps their poor customer service.
In most states, homeowners usually deal directly with ASI. In a few states, these services will be provided through Progressive Home.
ASI umbrella insurance may also be written with either $1 or $2 million in liability limits in certain states. Another issue here is that there is no information explaining whether the underlying policies here must be from the same company or not.
Here is an easier-to-understand summary of homeowners’ policies provided by ASI and what exactly they cover:
- Structure of your home – This covers damages suffered by the structure of your home caused by a covered peril.
- Attached structure – This policy covers all the mentioned structures connected to your home. These can include a shed, garage, etc.
- Personal liability coverage – It covers your family from any lawsuits resulting from property damage or bodily injuries to other people.
- Personal belongings – This covers theft and damage of the contents in your home
- Medical payments – Covers medical costs of the guests who might get injured while in your property.
- Additional living expenses – This covers your relocation costs in the event that your home will become uninhabitable and you are forced to stay somewhere else.
- Floaters for valuable items – This optional policy covers valuable items such as jewelry and art.
American Strategic Insurance partners with auto insurance companies to offer bundling discounts to homeowners’ insurance. The company has a unique sing-deductible policy that separates your auto and home insurance bundle.
ASI is one of the most expensive homeowner insurance companies. One comparison done between AIS and three other companies (Amica, Travelers, and AIG) showed that AIS was the second most expensive insurer across three different policy limits. The insurer charges a hefty fee for services that are rather, normal. That’s why the company is more recommended to high-priced homeowners.
Another issue with ASI is the lack of information on their policies. This company will tell you the policies they have, but then they will fail to provide additional information on these covers. Their website won’t give you any information on the rates of their policies. You also cannot get any online quoting from ASI.
You can try and get a quote from their partner Progressive Home, but the quote won’t be accurate. Progressive Home works with various home insurers, and hence it is difficult to know whether the quote you are seeing is from ASI or not.
The only way to get an accurate quotation is by reaching out to their local representatives. ASI can make the process much easier and time-saving by providing online quoting.
Home Insurance Discounts
ASI is a fairly expensive insurer, but they do have a few discounts that customers can take advantage of. Some of these discounts can reduce up to 55% of your premiums from the base price. The problem though is that not everyone qualifies for these discounts. Only the low-risk customers and car owners can get the best discounts from this insurer.
Car-owners, in particular, will enjoy the best discounts from ASI. This is because the customers can bundle their home insurance with an auto policy from one of the ASI partners. Some of these partners are Progressive Home Advantage, USAA, and GIECO. Depending on your state, you may also be eligible for the single-deductible option.
American Strategic Insurance has additional discounts for individuals with third-party products such as burglar protection, water leak detection, and fire protection.
The following are some of the other minor discounts that you might get and the requirements to qualify:
- Nonsmoker discount – all the residents, must be nonsmokers
- New purchase discount – buy a new home
- New construction discount – buy a home built recently
- Protective device discount – install home protection devices such as smoke signals, and burglar alarms
- Paid-in-full discount – you must pay your 12-month policy upfront
- Secured community discount – buy a home within a gated or highly secured community
- Electronic policy discount – apply to receive the policy documents via email
- Window protection discount – install impact-resistant windows
- Umbrella discount – have an umbrella liability cover
Take note that your location and situation may determine how much of a discount you receive, i.e. some people may get 10% while others get more or less yet it is the very same discount. It is essential to go through all of these discounts and see how many of them you qualify for and how much will be deducted from the premium you’ll have to pay. This should be done before you even submit your application. It will help you to see how much you can potentially save and then you can compare the amount you have to pay to that of other insurers before making your final decision.
So many people have complained of poor and very frustrating services when filing for claims from this insurer. Some people reported that they raised complaints and filed for claims and the company failed to respond. Others were frustrated by how the company didn’t perform thorough assessments to the damages they reported.
Since there are dozens of these complaints out there, it is fair to say that you should prepare for some frustrations when reporting damages or filing claims. You must be very persistent in asking for payments.
Claims can be filed by calling directly through their phone number, or you can do so online in the claims center.
As far as we can tell, ASI is a good option to people who want to bundle homeowner’s insurance and auto insurance. The discounts here will be much higher, and this is essential because as we said earlier on, ASI is an expensive insurer.
Conclusively, ASI is not the best choice considering the poor customer services, lack of sufficient information from their website and the high premiums of this company.
David is a financial expert who graduated from the University of Fordham (Master in Finance) in 2001. He has 10+ years of experience in private equity and wealth management. With strong expertise in senior-level financial planning, personal financial analysis, and mortgages, David knows his way around personal finance. Before working at CCR he used to be a financial analyst at McKinsey.
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