Insurances and If They Cover Hurricane Damage? An Ultimate Guide

by | Jan 3, 2024 | Insurance | 0 comments

If you live near places that mostly have high hurricane risk, taking insurance for hurricane damage would be one of the thoughts in your mind. 

If you are one of the individuals looking for tips for buying car insurance or small business insurance plans, Patience Noah Insurance is the perfect destination for you!

People living in Massachusetts, Alabama, Connecticut, Illinois, etc., often ask about historic home insurance policies, general liability coverages, etc., because of high hurricane risks. In this article, we will discuss the coverages for hurricane damages under different insurance policies. Let’s start now!

Does Auto Insurance Cover Hurricane Damage? 

Some insurance does provide coverage for storm damages. For example, if you take Comprehensive Coverage, it protects the car you own in all cases, such as vandalism, animal hitting, natural disasters (here, hurricanes), etc

Most drivers opt for Collision Coverage to protect their vehicles in case of collision with any other vehicle or object. On the contrary, if you want extreme vehicle protection i.e., car flood protection, Comprehensive Coverage is the one you must go for. 

It will not only be your car’s flood guard, but it will also protect your vehicles from fire and even theft at an affordable average price of car insurance. If you reside in one of the places with high windstorm damage risks and want to know what to look for when buying car insurance, you must check the following factors:

  • Coverage Types,
  • Coverage Limits,
  • Payment Options,
  • Renewal Policies,
  • Local Regulations, etc.

Not only in auto insurance, you should also check all the policies, restrictions, and limitations when buying insurance for historic homes, inventory homes, small businesses, etc. 

Hurricane Damage

Does Home Insurance Cover Hurricane Damage?

Home insurance covers a lot of windstorm damages. But unfortunately, not all damages can be covered by your insurance. To sum it up, it depends on the insurance you have and the area you reside. 

There’s no separate “hurricane or windstorm damage policy.” Hence, you need to look for insurance considering your weather conditions. For instance, you must have some additional insurance along with your home insurance to spare yourself from financial adversaries bought by hurricanes. This includes Liability Insurance, Car Insurance, etc. 

Most US residents take an HO-3 policy that covers all the damages, and HO-5, which is an extensive form of HO-3 policy for their secure futures.

Individuals who own old-form houses take HO-8 policies. The homeowners’ insurance for historic homes helps them cover the actual cash value of their houses, which spares them from loss in case of any natural calamity. 

Does Renters Insurance Covers Hurricanes’ Damages?

Although renters insurance covers certain damages caused by hurricanes to your personal belongings. For instance, your furniture, appliances, etc. Unfortunately, the damages caused by hurricanes to the infrastructure will not be covered by rental insurance since that is not included in your “personal property.” Mostly, the renters’ insurance covers the wind-related damages.

Moreover, even if the damage caused to your rented home is not covered by rental insurance, it still provides you with the additional living expenses (ALE). The ALE is only granted to you if your home (the one damaged by the hurricane) is uninhabitable. 

Now that we have covered your car, home, and rental insurances, your business is of the utmost importance, too. Let’s discuss that a little bit as well.

Liability Insurance (LI) and How It Protects Businesses During Hurricane

Liability insurance (LI)  simply works when you are at fault. If you caused an accident or your firm harmed any individual or company, your liability coverage will assist you in the penalties. 

There are many types of insurance for businesses, and most of them enjoy LI benefits. This includes:

  • Protection against lawsuits,
  • Financial protection,
  • Risk management,
  • Bodily injury liability (BI),
  • Property damage liability (PD),
  • Defense coverage, etc. 

LI does not include the physical damage caused by the hurricane, but it will also assist you in managing finances after that. This means if you have professional liability insurance, then the loss caused by a hurricane in terms of interruption of business or costs of relocation will be included in coverage. Also, the salaries of employees, rents, and even utilities during the restoration period will also be covered. 

Bottom Line

All in all, it is so important for every individual, be it a homeowner, entrepreneur, car owner, or tenant, to secure their property. It is ideal to take the insurance that suits your intellectual and physical property well without waiting for the forecast of the hurricane.

Patience Noah

Patience Noah migrated to the United states in 2003 after the Liberian Civil War. She attended the University of Massachusetts Dartmouth and got her B.A in Marketing. After graduating college in 2013, she started her career in the insurance industry cold calling.

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