what-is-hurricane-insurance

What Is Hurricane Insurance?

The Atlantic hurricane insurance is almost here, which runs from early Summer through the end of November. In 2019, the Atlantic saw only six hurricanes, but the damage from both hurricanes and tropical storms was estimated to be over $22 billion in the United States alone with another $5 billion in the Bahamas. Many people don’t know that their homeowner’s insurance probably doesn’t cover damage caused by a hurricane, and they only find out when it’s too late! The worst time to learn about hurricane insurance is the day after a storm damaged your home.

What About Homeowners Insurance?

When you buy homeowners insurance, make sure that you read the fine print. Insurance companies have detailed policies that show you exactly what they cover and what they don’t. Most homeowner’s insurance policies cover things like accidental damage, damage from storms, plumbing damage, and the like. But, if you live in hurricane-prone areas of the world, your regular old’ insurance policy will not cover damage from a hurricane. You have to get extra insurance coverage to pay for that. Shouldn’t homeowners’ insurance cover any kind of damage that happens to your home or your belongings? While that sounds like a great idea, including a policy that covers all accidental damage would drive premiums so high that no one could afford them. So, insurers split up hurricane coverage into additional items.

What Is Hurricane Insurance?

There really isn’t such a thing as “hurricane insurance,” because most insurance companies divide their hurricane insurance coverage into two separate areas of coverage, Flood insurance, and windstorm insurance.

Flood Insurance

No homeowner’s insurance policy covers flood damage. When floods hit, it’s just way too expensive to pay for the damage, so they wouldn’t touch it with a 100-foot pole. It wasn’t until Congress created the National Flood Insurance Program that flood insurance was even affordable for regular people. Flood insurance protects your home against weather-related water damage. So, it doesn’t matter whether the weather comes in the form of a hurricane or the neighborhood river overflowing its bank’s flood insurance will cover it. You may have to go through a separate insurance company to get flood insurance because not all insurers offer it. So, check-in with the NFIP to get more guidance on buying this kind of coverage.

Windstorm Insurance

Windstorm coverage is part of most homeowner’s insurance policies unless you live in a hurricane-prone area. So, if you live in Iowa, your policy will likely pay for wind damage, but if you bought a vacation home in Florida, you’ll likely need this extra coverage. Windstorm insurance isn’t nearly as difficult to get as flood insurance, because it isn’t nearly as costly for insurers to pay out damages in case of wind. So, you can probably get this as an additional coverage with your current homeowner’s insurance policy.
Contact us to get the most out of your claim for hurricane damages. We can ensure that you get what the insurance company owes you.

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