Some Alabama Pool Rates to Rise July 1

Rates for some coastal property owners insured through the residual market insurance organization known as the Alabama Beach Pool are going up July 1.

The overall average hike will be 5.5 percent, according to the Alabama Insurance Underwriting Association, the pool’s official name.

According to a letter the insurer sent to agents, rates are going up in Mobile, Gulf Shores, Orange Beach, Dauphin Island and Fort Morgan.

Renewal rate increases will be capped at 15 percent on an individual policy basis. At the same time, rates will go down in south Mobile County, the Eastern Shore, and areas of south Baldwin County including Magnolia Springs, Perdido Beach, Josephine, Elberta and Lillian.

Rates will remain unchanged elsewhere in Mobile and Baldwin.

The pool provides a fire and extended coverage policy and a wind and hail only policy (written with a package policy issued by an insurance company that underwrites other coverages).

Only condominiums, homes, mobile homes and commercial businesses located in the Gulf Front, Beach and Seacoast territories of Baldwin and Mobile Counties are eligible for coverage in the Beach Pool.