5 Things to Know About Insurance This Hurricane SeasonPosted on Jun 02, 2023
It’s official. Hurricane season has arrived.
Yesterday marked the first day of the 2023 Hurricane Season. If you live in a state that’s affected by the hurricane storm, it’s a good idea to make sure your insurance policies are all set, and you’re prepared for any storms coming your way
Here are some good things to know about insurance during Hurricane Season:
Have Your Insurance Policies Set in Advance:
Getting your home, auto, and flood insurance sorted out before a major storm is an important step to take to prepare for the hurricane season. While most new policies typically become effective immediately, insurance companies tend to avoid writing new policies at the last minute, right before hurricane or flood warnings are issued, to circumvent potential risk.
Avoid the potential headache and stay on top of this by making sure your policies are sorted out well in advance.
Know What Insurance Policies Cover What
It’s always good to know exactly what’s covered in your policies. The type of property you own plays a huge part in what your insurance policy covers.
Standard homeowners’ insurance tends to have the most coverage, while it’s preferred that condo owners look into Loss Assessment Insurance. Always be sure to understand and assess your property type before buying a new policy.
Understand What a Hurricane Deductible Is
If you’re a homeowner (excluding condos, renters, and landlords), you’re going to have to pay a Hurricane deductible. If there’s damage sustained from a hurricane, the policyholder needs to pay a deductible made up of anywhere from 1% to 10% of the amount of the dwelling coverage.
After that is paid, the homeowner’s insurance would kick in and cover the rest of the percentage.
Homeowner’s Insurance Does Not Cover Flood Damage
Did you know that flood insurance isn’t typically included with a homeowner’s insurance policy?
Homeowner’s insurance covers water damage from internal damage from something like a burst pipe. A homeowner’s insurance policy will not cover your property for flood damage from piling rainwater. You would need to purchase a separate policy for Flood Insurance.
Due note that flood insurance takes 30 days before it becomes effective.
Take Inventory of Your Possessions and Their Value
The last thing you’d want to do is have your personal assets damaged or lost during a hurricane. Imagine having to re-buy all your damaged belongings. Luckily having an insurance policy during a hurricane means you’re covered and protected from losses and damage.
It’s good practice to take inventory of your important assets and belongings. This will help you determine if your policy fully covers the value of your goods, or speed up the claims process post-storm.