When you purchase hurricane insurance, it is important to know what it covers and excludes. You also need to know what your deductible is. This deductible is usually separate from your regular insurance policy, so it is important to read over your policy carefully. Many policies also offer additional living expense coverage, which can pay for hotel bills, food, and more. You can use a hurricane insurance guide to determine whether you require additional windstorm coverage through your insurance provider or a state-run insurance pool.
Exclusions of Hurricane Insurance
If you have hurricane insurance, you should take note of the exclusions that are often included. Typically, your homeowner’s insurance policy covers flooding, but that coverage can be void if the ground shifts underneath your home. Flood insurance also does not cover sewer backup, although it is good to have it separately.
In addition, hurricane insurance typically comes with a deductible. This amount is usually one percent to five percent of the value of your home. In high-risk areas, you may have a higher deductible than in low-risk areas. In such situations, consider paying more to have a lower deductible.
Some policies also list storm surges under their flood exclusions. These policies can be confusing, especially if you need help understanding which coverage applies to which peril. If you need help understanding your policy, talk to your agent to find out if it covers storm surges.
Liability Coverage
Liability coverage for hurricane insurance is an important part of your homeowner’s insurance policy. A hurricane can cause tremendous amounts of damage to your home and can lead to a large deductible. If you live in a hurricane-prone area, ensure you have enough hurricane insurance coverage to replace your personal property. You should also include additional living expenses, including food and hotel. Some policies include a default amount, but you can request higher limits.
Hurricane deductibles vary by insurer and may be as high as 5% of your dwelling insurance. This deductible applies to the first $7,500 damage your home sustains from the storm. Typically, this deductible is higher than the standard, but it gives you some breathing room if a hurricane hits you.
In addition to collision insurance, hurricane insurance should also include liability coverage. Most states require this type of insurance. Liability coverage protects you in the event of an accident, and it will pay for your car’s repair. However, it does not cover damage to other people’s property or bodily injury if you hit someone else’s vehicle.
Collision Coverage
Collision coverage is essential when you live in a hurricane-prone area. When a hurricane hits, the wind can cause significant damage to your vehicle. Knowing your limits and how much coverage to purchase is important. Many insurers limit their policies during storms, so you should ask questions and be sure to get the most comprehensive coverage possible.
Collision coverage will protect your vehicle if you collide with another car or a stationary object during a hurricane. Since a hurricane can cause substantial damage to your car, collision coverage is essential, especially if you live in a coastal area such as New York.
Comprehensive coverage will cover the cost of replacing or repairing your vehicle. The insurance will also cover damage caused by fire and water. Comprehensive coverage covers damage caused by wind gusts, water, and glass breakage.
Home Value Deductible
You must purchase hurricane insurance if you live in an area where hurricanes occur frequently. Deductibles for hurricane insurance vary depending on the location of the home and the degree of risk it poses. For example, some insurers require a deductible of 10 percent of the insured value. This deductible may be higher than the one you would have to pay on normal homeowners insurance.
Homeowner’s insurance policies must include a deductible, and this deductible depends on the amount of coverage you purchased. Generally, a deductible of $500 is required for a home insured for $100,000 or less. However, homeowners who own a home worth more than this amount do not need to pay this deductible.
]