- Introduction to Palomar Insurance
- What Kinds of Insurance Does Palomar Offer?
- How Does Palomar Insurance Work?
- Pros and Cons of Palomar Insurance
- Get Customer Support Or File A Claim For Palomar Insurance
- Frequently Asked Questions
Introduction to Palomar
Founded in 2014, Palomar Holdings, Inc., is a publicly traded specialty insurer focusing on Earthquake, Inland Marine and Other Property, Casualty, Fronting and Crop insurance. It has a number of insurance subsidiaries, including Palomar Specialty Insurance Co., Palomar Specialty Reinsurance Co., Bermuda Ltd., Palomar Insurance Agency, Inc., and Palomar Excess and Surplus Insurance Co. These subsidiaries sell specialty insurance products for residential and commercial clients in markets where larger insurers may not be present or may offer a limited range of products.
Palomar was founded by a group of executives who identified gaps in certain insurance segments, such as earthquake, and developed analytical tools with more refined variables such as detailed construction costs and distance from fault lines
What Kinds of Insurance Does Palomar Offer?
Palomar’s residential insurance offerings include earthquake, flood, and hurricane insurance which supplement basic homeowners insurance. Palomar sells hurricane insurance in Hawaii, flood insurance in 31 states, and earthquake insurance in 19 states. Palomar policies are stand-alone alternatives to options such as the California Earthquake Authority, and the National Flood Insurance Program.
Does Palomar Sell Auto Insurance?
No, Palomar does not sell personal auto insurance policies. It does, however, sell non-standard commercial auto insurance geared toward drivers who are considered high-risk because they have poor driving records, are inexperienced, are older, or for other reasons. These policies are sold through Palomar’s fronting operation, PLMR-FRONT.
Does Palomar Sell Homeowners Insurance?
No, Palomar’s residential offerings do not include comprehensive homeowners, condo, landlord, or renters insurance policies. Palomar sells hurricane, flood, and earthquake insurance. These policies are designed to supplement standard homeowners insurance, which does not cover damage from these catastrophic events.
Residents of Hawaii can purchase residential hurricane insurance from Laulima Exchange, Palomar Excess and Surplus Insurance Co. or Palomar Specialty Insurance Co. Palomar’s residential insurance can be purchased for homeowners, rental dwellings, and condo-unit owners for policies up to $10 million of total insured value, which can include replacement cost, fair rental value, ordinance or law, and demand surge. The policies cover a wide variety dwelling construction types and offer a range of deductibles.
Palomar sells flood insurance in 30 states. Depending on the policy, Palomar flood insurance can cover damage to dwellings (up to $5 million), personal belongings ($1 million), and loss of use (up to $50,000). Palomar is a private alternative to the National Flood Insurance Program and, as a result, requirements to purchase a Palomar policy may be less stringent and flood coverage may be available faster. Homes with certain risks such as flood damage within the last 10 years or that are over water may be subject to additional restrictions.
Palomar Sell Liability Insurance?
No, Palomar does not provide liability coverage through its earthquake, hurricane, or flood policies. Customers interested in liability coverage for their house, condo, or rental should secure liability coverage through their homeowners, condo, or landlord policy and personal umbrella coverage.
How Does Palomar Insurance Work?
Palomar sells insurance through a network of brokers, program administrators, and other insurance companies. This network may design customized policies, underwrite, or even address claims.
Pros and Cons of Palomar
Pros
- Unlike California Earthquake Authority policyholders, Palomar customers can use any insurance carrier as their homeowners/condo/landlord carrier.
- Palomar policies may have shorter wait times than policies offered by the National Flood Insurance Program.
- AM Best upgraded Palomar Holdings, Inc. and its subsidiary companies to a “bbb” (Good) Long-Term Issuer credit rating, and an A (Excellent) Financial Strength rating due to its profitability over the last five years.
- Palomar may offer more options for deductible levels and personal property coverages than the CEA, which recently eliminated some options.
Cons
- As an alternative provider of specialty insurance products, including excess & surplus insurance, Palomar has more flexibility to raise its rates.
- Some of Palomar’s policies are issued on a non-admitted basis, which means that in the event of insolvency, policyholders will not have access to guaranty funds from states.
Get Customer Support Or File A Claim For Palomar Insurance
Palomar customers can choose to receive customer support through their customer portal, email, phone, or fax.
Call: 619-567-5290 Email: PassHelpDesk@plmr.com Fax: 619-567-6954
For current policyholders, the Palomar Insurance portal is available to pay bills and access policy documents.
Customers who need to report a claim, should email or submit a claim form through Palomar’s online claim forms.
Palomar Insurance Policyholders
- Email: Claims@plmr.com
- Online Claim Form
Palomar Excess & Surplus Insurance Company Policyholders
Frequently Asked Questions
Should I Buy Palomar Insurance
Palomar offers specialty insurance products in select states. Whether you should buy coverage depends on a series of factors, including your location, your home’s level of risk, and available options. According to the California Earthquake Authority, the probability of an earthquake of a magnitude of 6.7 that could inflict significant damage to Californians is almost 100%, wh {flood FEMA sentence} The National Flood Insurance Program also estimates that, from 2014-2018, policyholders outside of high-risk flood areas filed over 40% of flood insurance claims. If you live in a state or area prone to earthquakes or flood, traditional homeowners/condo/landlord policies specifically exclude coverage for these risks.
Is Palomar a Real Insurance Company?
Palomar is a real insurance company. Founded in 2014, it specializes in catastrophic coverage and innovating the insurance process, including in underwriting and selling policies.
How Does Palomar Make Money?
Palomar makes money by investing the cash from the premiums paid by its policyholders for its insurance policies and by managing its expenses, including claims, operating, and reinsurance costs. In an August 2024 press release, Palomar explains its recent public offering of stock to allow it to acquire companies and expand offerings with the objective of selling more policies.
Is Using Palomar Insurance Worth It?
Given the risks of damages to dwellings and properties, it is important to consider purchasing earthquake, flood, or hurricane insurance if you live in a high-risk area and couldn’t afford to rebuild your home. Mortgage lenders may also require that you purchase additional coverages depending on your area risk. Palomar prices may or may not be lower than governmental programs such as the National Flood Insurance Program and California Earthquake Authority, but Palomar’s policies provide additional benefits such as varied coverage and deductible options, less restrictions on underlying home carriers, and/or earlier start dates.
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