Weather, Mother Nature’s Weapon of Choice
Hurricanes, tornadoes, flooding, and hailstorms, are just some of the weapons at Mother Nature’s disposal. Home insurance is there to help you when disaster strikes. Texas is known for its flash floods and tornadoes. How to handle the aftermath of a storm that has damaged your home is a good thing to know.
Property Damage Insurance – Do I Need It?
The problem with insurance is that you feel like you are paying for a “what if” that may never happen. But knowing that you are covered is a blessing for you and your family. Insurance is paying for protection against the unpredictable.
Any homeowner is encouraged to have a good homeowner’s insurance policy, even if you don’t owe any money on your property. If you have a mortgage, home equity loan, or have used your home as collateral, the lender will require you to maintain an insurance policy.
What Does Home Insurance Cover?
Most homeowner’s insurance policies cover hailstorms, tornadoes and severe windstorms. Protection against flooding and earthquakes usually require additional coverage. If you already have an insurance policy it is recommend that you check with your provider to know what exactly you are covered for. There may be certain scenarios that may not fall under your current policy. This practice is recommended with any type of insurance policy: Auto, Life, Motorcycle, RV, or Health.
Things to Check On Your Home Insurance Policy
It is difficult to imagine what you would need to do if your home is damaged in a storm because there are so many variables that can happen. That is why it is so important to have a check list on what is covered on your insurance policy. Below are a few variables that you need to know if you are covered for.
- Replacement Cost – Some people think that replacement cost means the full value of their home. But it actually means that the insurance company will pay for the cost to rebuild your home, which can be more or less than the market value, or sale price.
- Time of Loss – In the case that you are unable to live in your home, your insurance company will pay for temporary living expenses. Up to applicable limits. It is important to know these limits on your policy.
- Tree Removal – Does your policy cover the removal of a tree that has fallen on your property? Some insurance companies require a separate tree removal policy.
- Damaged Cars On Your Property – If your car, or someone else’s car, is damaged on your property by a fallen tree, etc. Your homeowner’s policy does not cover it. Your comprehensive auto insurance will take care of that.
Act of God Insurance Claims
Act of God refers to damage caused by weather storms like tornadoes. An Act of God is when there is no one to blame but Mother Nature. Most homeowner’s policies cover Acts of God, but insurance companies will look for any excuse to avoid providing you with the right settlement.
On April 3, 2012, a tornado hit Kennedale, Texas and tore through Arlington and the Dallas-Fort Worth area. The next day, State Farm alone received 959 homeowner claims! Act of God claims can become very complicated when someone loses their entire home. Contact a personal injury attorney immediately. An attorney will deal with the insurance companies and fight for your claim.
Most states cannot cancel your coverage, or raise your premiums due to an Act of God damage claim – according to the National Storm Damage Center.
Does My Insurance Cover Flooding?
Flooding is one natural disaster that often requires additional coverage. Talk with your insurance agent to find out if your home is covered for flooding. Flash floods happen every year in Texas, so its vital to know if you’re protected against them.
We can’t always prepare for a natural disaster, but we can be ready to handle the aftermath. Knowing your insurance policy is the first step in obtaining peace of mind.