Check Your Insurance Coverage Before The Next Storm Hits

Check Your insurance coverage Before The Next Storm Hits

Severe weather events are increasing. In North America, nearly twice as many hurricanes form each year compared to a century ago, and thunderstorms spawning tornadoes have produced record destruction. While the actual causes of this climate trend are still being debated, some storm victims are finding that their insurance policies do not cover every type of damage.

Many people make emergency preparations for flooding, but mistakenly assume that their homeowner’s coverage will repair any loss that may follow. Unfortunately, over 75% of all buildings in high-risk areas are not protected against high water, and even a few inches covering a floor can cause thousands of dollars for repair or replacement.

To bridge this gap, the American National Flood Insurance Program was created. In conjunction with local providers, this program is designed to be an alternative to actual disaster assistance, and to simplify the repair process afterward. The program not only provides residential protection, but is also involved in local efforts to manage local floodplain runoff, as well as raising local construction standards.

By the time a flood occurs, however, buying a policy is too late. There is a thirty day interval required by the government between the time federal flood coverage is purchased, and the time it will begin to take effect. Some opt for a non-government sponsored flood plan, but for full protection it must cover 100% of the replacement cost of your home and its contents.

Your automobile policies should also be examined. When a massive tree limb crushes the roof of a car, the last thing anyone wants to hear about is a coverage gap. Storm damage is part of the comprehensive clause of an auto insurance policy and also encompasses other risks such as fire and falling objects, explosions and earthquakes, and theft.

Never assume that comprehensive coverage is included. It is optional, but may be required for new autos financed through a bank loan. Customers must also choose a deductible amount which must be paid before any repairs can be approved. Policies with higher out-of-pocket costs are lower priced overall, and the choice of deductible amounts depends largely on personal finances.

Nothing can stop a storm from wreaking havoc, but knowing the details of your own policies cuts down on worry. Bundling them reduces costs, and makes contacting an agent easier. Wait for an adjuster to visit before beginning any permanent repairs, and be extremely cautious when hiring a contractor in the wake of a disaster.




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