The Massachusetts Insurance Trap: Why Coastal Homes Face 11.6% Non-Renewal Rates (And How It's Killing Real Estate Deals)

Massachusetts homeowners insurance premiums average $2,008 (16% increase forecast for 2025), but this obscures a market in crisis: Martha's Vineyard faces 11.6% non-renewal rates (3rd highest in U.S.), carriers are using aerial surveillance to cancel policies over roof condition, and 30% of the state's pre-1940 homes face automatic rejection due to knob-and-tube wiring. New MPIUA rules effective February 2025 mandate 90% insurance-to-value coverage and mandatory flood insurance for coastal properties, forcing higher premiums and creating transaction failures when buyers can't secure coverage required by lenders.