Q: My insurance company just told me it will not renew my homeowners policy, and a few days later, my mortgage company warned that it will buy “lender-placed” insurance if I do not show proof of a new policy. I have never filed a claim in my life. What do I do, and is this force-placed insurance really as bad as it sounds? — Marcus

A: It is unsettling to receive two letters like that in the same week, especially when you have never filed a claim. Take a breath. You have more control than it feels like.

A non-renewal is not a cancellation, and it does not mean you are uninsurable. It means one company has decided to stop covering your home, often for reasons unrelated to you, such as the insurer withdrawing from your entire region.

Your job now is simple. Replace the coverage before the old policy ends.

Start today, not next week. Most companies will give 30 to 60 days’ notice, and that window closes faster than you expect.

A good starting point is to call an independent insurance agent, not one who sells a single brand. An independent agent can shop your home with many carriers at once, including regional companies and the surplus lines market, which takes on homes that big national insurers will not.

You can also check single-brand agents and offerings from affinity groups, such as those for veterans.

Your loan requires you to keep your home insured. If you let your coverage lapse, your lender can buy a policy and bill you for it.

That’s called “force-placed” insurance, and it can be as bad as it sounds. It typically costs substantially more than a standard policy and generally protects only the lender. It does not cover your belongings or you if someone is injured on your property. You would pay a premium price for a policy that offers you little protection.

The good news is that you decide whether it ever takes effect. The moment you have a new policy, send written proof to your mortgage servicer.

If your lender already placed coverage before your policy started, send the proof anyway and ask them to cancel it and refund the overlap.

Most are required to back off once you show valid coverage, accept your policy in place of theirs, and refund any difference for unused premium.

Whatever you do, do not let the deadline run while you chase the perfect price. A modest policy in place today beats a great quote that arrives the day after your current policy expires. Lock in coverage first, then keep hunting for a better rate.

Some of your neighbors are likely facing the same squeeze, so compare notes, share the names of agents who actually call back, and get this handled before the unexpected happens or your monthly housing payments increase dramatically.

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