Everything Has Gone Up: Retirees Feel Burdened by Inflation as Home Insurance Costs Surge | Insurify [Video]

Despite their reputation as a financially privileged generation, millions of baby boomers are slipping through significant cracks in the U.S. retirement system. A new source of financial strain on retiree budgets is homeowners insurance premiums, which have skyrocketed by 20% between 2021 and 2023.

Between 2024 and 2030, 30.4 million Americans will turn 65. More than two-thirds of this final baby boomer cohort will be “financially challenged” in retirement, according to the Alliance for Lifetime Income.

The U.S. inflation rate, which surged to 9% in June 2022, has slowed to 3% as of June 2024 — but years of price increases have wreaked havoc on retirees’ budgets, requiring them to scale down significantly in their golden years.1 The early-August stock market plunge, which affected 401(k)s, stoked more financial anxiety.

Rising home insurance compounds other soaring costs, like surging car insurance premiums (which increased by 15%in the first half of 2024), grocery price hikes (up 11.4% in …