Understanding Hurricane Insurance Policy
Most home insurance policies do not cover various perils such as floods, earthquakes, and hurricanes. Therefore, you need to get a separate insurance policy if you happen to live in areas that are susceptible to such disasters. Insurance companies spent over $158.6 billion in the coverage of losses brought by hurricanes and storms between 1996 and 2015. Therefore, getting a hurricane insurance policy should be a number one priority for people living in high-risk areas.
Homeowner insurance and Hurricane Coverage
Some home insurance companies, especially those on the East Coast may include hurricanes as some of the perils covered, although they usually come with a higher deductible. The insurers set deductibles at a percentage of the home’s value, meaning that they can be high or low depending on the value of your home. You may consider purchasing separate hurricane coverage if your insurer does not include it among the covered perils.
How Hurricane Coverage Works
Water damage and wind damage are the two main problems brought by hurricanes. This means that you need to get two separate policies to cover the damages. Most standard home insurance policies cover wind damage but rarely will they cover water damage. Therefore, your home insurer will cover damages such as blown shingles, shattered windows, and knocked down trees in your home. The hurricane policy then covers the water damage following the high winds that rip off the shingles or the roof. It also includes the replacement costs for anything destroyed by the flood.
Therefore, getting enough hurricane insurance coverage for your home is important especially if you live in high-risk areas. Remember to check with your homeowner’s insurance provider about their coverage options in the event of a hurricane to ensure adequate protection if a disaster occurs. Get an insurance policy earlier instead of waiting until a hurricane-warning announcement since it might be too late to get a policy.