Insurance

I don't get insurance...

We had to do some work last year. The people that installed our central air screwed up and cut a hose too short, and we found out a couple years later when the ceiling in our bedroom caved in because of water damage. So what did we do? We called on the homeowner's insurance. That's what it's there for, right?

Well, our insurance was supposed to renew at the beginning of this month. I got a call from our insurance agent this morning, letting me know that the insurance company let him know that they were not going to renew our policy because of "claims." So we had to go with a different company, for more money. Granted, it's only an additional $40 a year, so it's not a big deal, but I'm still quite bugged by this whole ordeal.

Don't we pay insurance for instances like what happened to our ceiling? It wasn't even that big of a claim, and something that was not our fault, but I don't understand losing your policy because you actually used your insurance. I'd hate to see what would happen if something big happened - would no one even give you a policy??