Home Insurance Gets Dropped for Backyard Clutter: What You Need to Know

When Home Insurance Gets Dropped for Backyard Clutter: What You Need to Know
Homeowners are being dropped from their insurance policies for something as simple as clutter in the backyard—and yes, it’s happening more often than you think.

We recently spoke with someone whose parents were told their coverage would be canceled due to aerial photos showing project cars, lawnmowers, and sheds in the yard—even though the space was fenced in and much of it was stored under a canopy. They had recently replaced the roof through a claim the insurer approved earlier in the year, yet that same insurer flagged the property as a risk and issued a non-renewal notice.

Sound harsh? It is—but it’s also part of a broader trend in the insurance world right now.

Why Insurance Companies Are Dropping Policies Over Clutter

Across the U.S., property insurance carriers are tightening their standards. After years of rising claims and record-breaking payouts from natural disasters, theft, fire, and liability cases, many insurers are reassessing what they consider “acceptable risk.” In California and other high-claim states, this is especially true.

Here’s what they’re looking at:

• Aerial imagery (from drones or satellites)
• Yard conditions that suggest poor maintenance or fire hazard
• Storage of engines, tools, or DIY materials
• Old or mismatched roofing materials
• General signs of deferred upkeep

In the case above, the presence of multiple small engines, sheds, tarps, and a project car was enough to raise red flags. Insurance underwriters often use decades of data to assess risk—and they know that visible clutter outside often signals bigger problems inside.

Why the Industry Is Getting Tougher Right Now

State Farm recently made headlines for pulling out of writing new homeowners policies in California. Farmers, Allstate, and others have either limited offerings or raised rates significantly due to inflation, wildfire risk, and regulatory pressure.

Meanwhile, recent heatwaves across Southern California have only made property conditions worse, increasing the risk of fire and structural damage—and making it harder for older homeowners to clean or organize quickly. Insurers are paying attention.

The home insurance market is in a reactive mode. Companies are trying to control exposure before the next major storm, fire, or claims cycle hits. That means even one claim, one aerial photo, or one call-out on property condition can trigger a cancellation.

When Was the Last Time You Reviewed Your Policy?

Most homeowners don’t think about their insurance until there’s a problem. That’s a mistake.

You should review your home insurance policy at least once a year.
Ideally, do it before renewal season—or anytime you:

• Make a major purchase (e.g., tools, appliances, equipment)
• Renovate or add on to your home
• Pay off your mortgage or refinance
• File a claim (even a small one)
• Notice any rate increases or changes in terms
• Reviewing your policy helps you:
• Make sure you’re not underinsured
• Catch outdated or incorrect coverage details
• Spot red flags before your insurer does
• Adjust your deductible or coverage levels based on risk

At our agency, we make this process easy. We’ll walk you through what’s covered, what’s not, and what might raise eyebrows during underwriting or inspection.

Your Agent Should Be Your Advocate—Not a Gatekeeper

In this particular situation, the homeowners were told not to contact the insurance company directly and were given vague cleanup instructions with only weeks to comply. That’s unacceptable.

As a licensed insurance agency in Ontario, California, we believe your agent should help you navigate these challenges—not leave you guessing. If your current agent isn’t communicating clearly, it might be time to get a second opinion.

What You Can Do Right Now
If you’re at risk of non-renewal or just want to be proactive, here’s what we recommend:

Clean up visible clutter. Focus on anything that could be seen as flammable, hazardous, or excessive.

Document improvements. Take photos before and after. Keep receipts or proof of repairs.

Talk to an agency that’s honest. We’ll tell you what other carriers are looking for, and whether your current policy is really your best option.

Know that switching is possible. While insurers are tightening standards, that doesn’t mean you're stuck. Some companies will work with you—especially if you’ve made an effort to clean up.

Need Help? Let’s Talk.

We work with homeowners across California to protect their properties, even in challenging situations. If you’ve been dropped, threatened with cancellation, or just want to explore your options—we’re here.

We also offer:

• Auto, Life, and Business Insurance
• Medicare & Workers Compensation
• Artisan Contractor Insurance
• Business Property & Tools Coverage

Call us today or request a quote.

Let’s make sure your home, your family, and your future stay protected—no surprises.