American Modern filed for a 4.9% overall rate increase to its New Jersey Dwelling Special Program, with proposed effective dates of November 11, 2026 for new business and November 21, 2026 for renewals.
The filing covers 4,953 policyholders and would add about $625,775 in written premium to a book currently generating $12.8 million. The company said the changes are limited to revised dwelling base rates for owner and rental occupancies, while Dwelling Special Vacant would see no change.
American Modern’s actuarial support points to a much higher indicated need of 22.2% to 22.6%, well above the requested increase. In its indication, the insurer cited a 65.3% total loss and LAE ratio, including 9.1% from catastrophe load, alongside a fixed expense ratio of 8.9%, variable expenses of 24.3%, and a profit provision of 15.2%.
The filing shows recent premium growth in the program, with earned premium rising from $2.7 million in 2021 to $11.4 million in 2025. Over the same period, the company tracked rising non weather loss severity, modeled hurricane load of 5.6%, and severe convective storm load of 1.9%.
The last rate revision for the program took effect on May 17, 2023, when American Modern received approval for a 6.6% increase.