Can you get homeowners insurance during hurricane season?
Can you get homeowners insurance during hurricane season?… that is topic of the article and we hope you find the answer(s) you are looking for! If necessary feel free to call us for an appointment at 386-575-2300 – our team is ready to help!
Did you know that the insurance industry and the companies that represent their products have prohibited buyers from purchasing new homeowners’ insurance policies or increasing the limits on their existing policy? Why is that, well if a natural disaster is imminent such as a tropical storm or hurricane, the insurance industry has setup a ‘moratorium period’ for high risk areas for a period of 24 to 48 hours around a time frame of a natural disaster and can last as long as 72 hours after the hurricane has passed.
If a hurricane watch is issued 24 to 48 hours before the hurricane is expected to make landfall, buying extra insurance or new insurance for your home may be impossible. Here in Florida, the hurricane season begins on June 1st every year and ends on November 30th.
So, what is ‘Extra Insurance’ for your home during the hurricane season?
Extra Insurance is when you purchase more coverage because one insurance policy is usually not enough to cover all the types of damage that can happen to your home as well as in your home. This damage can occur during the hurricane event and after the hurricane has left your area.
Extra Insurance for home when it comes to hurricanes and tropical storms. Some extra types of insurance which are popular are wind or flood damage insurance. Our insurance agency recommends investing in these extra insurance policies as quickly as possible, so you do not have to worry about a hurricane event moratorium issue.
That is why so many experts and professionals recommend purchasing the insurance you need to protect your home in advance of the hurricane season as being a good and smart idea for Florida homeowners.
Okay so what is Flood Insurance, and does it matter for my home?
It would be smart to first understand the problem with flooding to start with. Did you know that floods are the most common and most destructive natural disaster in the United States. Ninety percent of all natural disasters involve flooding, and all 50 states have experienced floods or flash floods in the past five years. In Florida, it is a sub-tropical environment meaning we get more rain and potential flooding events during the year than most states combined.
When you add in the Hurricanes and Tropical Storms, our state jumps closer to the top of the list. Unfortunately, Florida is a low laying state that means a lot of the state is at or just barely above sea level. So, we are far more likely to have a flood. The damage from a flood is not covered under a standard homeowner’s policy. Flood insurance is a special policy that is federally backed by the National Flood Insurance Program (NFIP) and available for homeowners, renters, and businesses.
National Flood Insurance Program (NFIP) | Can you get homeowners insurance during hurricane season?
The National Flood Insurance Program was created as a result of the passage of the National Flood Insurance Act of 1968. The United States Congress enacted it primarily in response to the lack of availability of private insurance and continued increases in federal disaster assistance due to floods.
At the time, flood was viewed as an uninsurable risk and coverage was virtually unavailable from private insurance markets following frequent widespread flooding along the Mississippi River in the early 1960s. The National Flood Insurance Program is a Federal program, managed by the Federal Emergency Management Administration known many people simply as FEMA. It has three components: to provide flood insurance, to improve floodplain management and to develop maps of flood hazard zones.
The program allows property owners in participating communities to buy insurance to protect against flood losses. Participating communities are required to establish management regulations in order to reduce future flood damages.
This insurance is intended to furnish as an insurance alternative to disaster assistance and reduces the rising costs of repairing damage to buildings and their contents caused by flood. A homeowner is able to purchase excess flood insurance, but they must be covered by this program’s flood insurance first.
Also, it is important to note that National Flood Insurance Program, usually institutes a 30-day waiting period on any new policy they issue. It may worth having a conversation with our team about flood insurance to go along with your home insurance.
Review Your Home Insurance Policy Carefully
As part of the mortgage loan process in Florida, your mortgage lender may require you to have flood and wind damage insurance on the property that is securing the loan. This is very common especially when your home is in a flood zone. These types of insurance will cover damage to your property after a hurricane has hit. But please be aware, there is no such thing as ‘hurricane’ insurance. This means you might already have the supplemental insurance you need. But it is critical not to assume anything and review your current coverage. If you find it is missing, do not worry our insurance agents can quickly start addressing your additional home insurance needs.
Remember that you live in Florida, which means you will experience hurricanes and tropical storms. These storms can life threating, very dangerous, and have been quite destructive in the past to people’s property. The best defense against catastrophic hurricane damage to your home is to have comprehensive coverage. This comprehensive home insurance coverage will protect you against floods, wind, and other damage from hurricanes. Do not wait until disaster strikes, take a moment and call us now.
So, will my home insurance cover hurricane damage?
Yes, homeowner’s insurance can cover hurricane damage. But, here is the big ‘but’ and yes there is always a ‘but’. Your coverage amount and its availability will depend on several different factors.
You cannot have both homeowner’s and tenant’s insurance, but a landlord can have homeowner’s coverage for the building, and the renter can have a tenant’s insurance policy for their items inside the structure. It is important to mention that for people who are sub-leasing their home to an additional individual. In some cases, your home is a multi-unit property, so we want to make sure you get the right insurance for your specific situation.
Now, if you are one of the many people renting your home, you do not have homeowner’s insurance. Only the person or business entity that owns the house can buy homeowner’s insurance.
Unfortunately, many tenants do not purchase renter’s insurance. As a result, when there is massive storm damage, uninsured renters can lose all of their personal property in the rented unit.Here are is a short list of those items:
- even pets are considered property and so much more
What is the difference between renter’s insurance and homeowner’s insurance?
Yes, there is a difference in renter insurance and homeowner insurance. But why is it different? A typical homeowner’s insurance policy covers the damage to the property. This means the home not the contents in the home. Further, this coverage might not be enough to rebuild the structure and/or replace the destroyed items in the home.
That is where renter’s insurance comes in. This insurance usually only covers your contents in the rented property. A rented property sometimes can be it an apartment or rental house. If you schedule an appointment with us we can help you with this. It is okay to ask us about covering making certain to cover your items that you keep in designated storage as well.
Please be aware, this policy called ‘Renter Insurance’ also called ‘Tenant Insurance’ does not pay for damage to the building or your vehicles. When we have an appointment with a new client, we try to have them imagine that their apartment or rental home as a box. Renter’s insurance only covers what is inside the box. This coverage for a renter does not protect the box itself or things outside of the box.
Okay, so what does a Homeowner’s Insurance Policy actually cover?
A typical or average homeowner’s insurance policy will cover the structure, contents, and outbuildings, if it is listed on the policy. Sometimes the cost to rebuild your home or some other structure under your homeowner’s policy is more than the market value of the home. This is particularly the case with older homes. Sometimes, it can cost a great deal more to build a new house that complies with the current building code than you would get if you sold the house before it got damaged. This is why having the proper insurance coverage is so critical in our area.
Also, it is important to know that your homeowner’s policy usually does not cover damage to your vehicles. But, don’t worry, we can find you suitable auto insurance coverage if necessary.
If the damage to your home comes from flooding, your homeowner’s policy might not cover the losses. That is why we discussed the important of having extra insurance. If you have flooding, you would have to file a claim under your separate flood insurance, if you elected carry that type of coverage.
Did you know, if you plan on renting out the property to a tenant, your homeowner’s insurance will not cover the renter’s personal property? That’s right. Your policy will protect the structure and outbuildings and any specific contents that you own and the policy identifies, like appliances. But, if you rent the unit as a furnished property, your homeowner’s insurance might cover your contents within the home or apartment.
So, let’s talk about the contents in a property for a few seconds…
If your current homeowner’s policy does cover your contents – you would be quite lucky after a major hurricane that caused damage to your home. Your contents inside your home would be at market value. In some cases, you would not be able to go out and buy replacement items with the money from the insurance company. The market value of the contents of a home is pretty much equal to their yard sale value.
Did you know, that the moment you take an item home from the store, it is considered “used.” Similar to a car, it’s value depreciates substantially from the price you paid for it. You need understand that the replacement cost may not be what you wanted it to be if you coverage is too low. Plus, most insurance providers may only pay you the amount that a disinterested buyer would pay for the item. Which can be very considering
On the other hand, if your homeowner’s or renter’s insurance policy covers the contents of your home at replacement value. That means, you will get much more money than you would for market value. Replacement value gives you enough funds to go out and buy new items to replace the damaged or destroyed ones.
Alternative Insurance Agency Inc. – Thanks for reading… Can you get homeowners insurance during hurricane season?
1235 Providence Blvd. Suite. N Deltona, Florida 32725
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