Insurance Expert: Underinsurance is a Major Mistake for Homeowners

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NASSAU , BAHAMAS – The 2026 Atlantic hurricane season in full swing. and many Bahamians are focusing on preparing and protecting their most valuable asset — their home.

While forecasters are predicting a less active season than in years past, experts say now is not the time to relax.

Our Chinasa Outten spoke with NAGICO Insurance Territory Head Anton Bowleg about the importance of reviewing your coverage and avoiding costly mistakes.

The 2026 Atlantic hurricane season may be forecast to produce fewer storms this year, but insurance experts say that doesn’t mean Bahamians should let their guard down.

NAGICO Insurance Territory Head Anton Bowleg says it only takes one storm to make landfall.

Anton Bowleg – Territory Head, NAGICO Insurance Bahamas

“But suggest that the homeowners continue to prepare as normal for storms, because like I said, they can’t predict which storms will actually make landfall or which territories will be affected by a storm.”

For homeowners, having the right insurance coverage can make the difference between a quick recovery and a financial setback after a major storm.

Bowleg says one of the biggest mistakes property owners make is insuring their home based on its market value instead of the actual cost to rebuild it.

With inflation, he says many homes may now be underinsured without owners even realizing it.

Anton Bowleg – Territory Head, NAGICO Insurance Bahamas

“A building that you would have built five years, ten years from now, just because of inflation, their insurance should be adjusted upwards because it would cost more to rebuild that home.”

He’s also urging homeowners to carefully review their policies to ensure they are actually covered for hurricanes.

And while many Bahamians remain concerned about the cost of insurance, Bowleg says there is some good news. He doesn’t expect premium increases in the near future.

Anton Bowleg – Territory Head, NAGICO Insurance Bahamas

“And in previous years, the lack of available capacity for homeowners insurance would have been the major driving force for the fluctuation in rates, but that’s kind of settling now, so they should be able to enjoy stabilized pricing.”

The conversation around coverage became even more important after Hurricane Dorian, one of the most devastating natural disasters in Bahamian history.

Bowleg says the storm reinforced the need for the industry to continue educating policyholders.

Anton Bowleg – Territory Head, NAGICO Insurance Bahamas

“So I think that the industry is now just going to double back on that same stance where we’re going to make sure the persons are aware that this condition exists. But I think, in general, for the past umpteen years, the industry has been very responsible in indicating that to our clients.”

As the season progresses, Bowleg is urging residents not to interpret forecasts of a less active season as a reason to relax their preparations.

Anton Bowleg – Territory Head, NAGICO Insurance Bahamas

I would strongly suggest that they do not take the indication that the hurricane season is going to be less active as a chance that they could relax.”

Anton Bowleg – Territory Head, NAGICO Insurance Bahamas

“So I would caution you to take the same precautions you would have normally taken.”

As insurers continue to stress the importance of preparedness, they are encouraging homeowners to review their policies, confirm they have the appropriate coverage, and document the current condition of their property with photos.

And for homeowners, you can still purchase insurance throughout the hurricane season, except when a storm or active warning is already in effect.