I've come to the conclusion that the only homes that insurance companies want to insure are brand new ones. Maybe it has something to do with living in Florida, but I imagine old is everywhere, not just here. Like my grandfather told me growing up, "Never get old."
I've seen insurance companies completely exclude certain homes because of age. I've seen others double the insurance premium vs other carriers based upon the age. I've seen them exclude certain types of coverage like water leaks or mold, etc. They won't insure because the roof doesn't have wind mitigation straps. The list goes on and on and on.
This creates a very serious problem. A bank won't let you get a loan if you don't have insurance. And you'd be a fool to not have it.
I was looking at buying a condo 2 years ago that was gorgeous and already had a renter in place. Price was great, condo was great, location was great. Well then in downtown Orlando banks weren't giving out loans for those types of properties, at all. I could have paid in cash, but there was another problem. The unit was a converted warehouse that used to house a car dealership. When the real estate developer gutted the warehouse he, for whatever reason, didn't get the city to reclassify it as a new property. So the property records showed it as something that was built in like 1912. No insurance company wanted to touch this place!
When I asked the owner through my agent who he currently used for insurance the response blew me away. He said he didn't have insurance and never did. I immediately walked away from the deal...