2009 Hurricane Season. Tips To Weather The Storm!
Can you believe it has been almost 20 years since Hurricane Hugo? Although Charleston has not been hit directly since then, we are all affected by hurricanes no matter where they hit in the U.S. Ever since Hurricane Andrew in 1992 Insurance companies have been taking a scientific approach to dealing with hurricane risk. After Katrina, many insurance companies doubled their efforts to protect against the growing risk of future hurricane losses and began to slow down the amount of business (risk) they take along coastal states as well as raised rates. But, there are a few things you can do to lower your rate and precautions you can take to weather the storm.
In addition to what we have written in this article, check out the article from last year at www.insuranceofcharleston.com/news/?cat=6
KNOW YOUR INSURANCE POLICY-
The best advice prior to a storm approaching is to know exactly what your policy covers and does not cover. For instance, storm surge, a rise of tidal waters due to a low pressure system, is NOT covered under your homeowners insurance policy. Only FLOOD insurance covers storm surge. FEMA regulates flood insurance, but is available at the same price at most insurance agencies.
Check your deductible and know what you will have to pay out of pocket after the storm occurs. Many deductibles are now a percentage of your total insured value of your home. For instance, a $100,000 may have a 5% windstorm deductible which means you will have $5,000 deductible. This special windstorm deductible is different than your regular deductible which could be $500 or $1,000. Know in advance what your deductible is and make sure that money is tucked away in savings for when you need to use it.
Be sure you are getting all of your discounts. Many insurance companies will offer discounts to you for having hurricane shutters and upgraded building code specs. Be sure you know what your company offers in ways of discounts and see if you qualify or if the expense of adding shutters etc would be worth the savings.
Talk to your agent. Call your agent and spend some quality time to review your policy. You need to know exactly what your policy covers and make changes to it as you make changes to your home. Have you added an addition? remodeled a room? Bought new jewelry, antiques or other valuables? If you have, you need to make sure your agent updates the policy to make sure you are covered.
Condo Owner need to review the regime policy for their condo association. Check the regime policy and know if you are responsible for all interior walls or just the wall paper inward. Having a copy of the regime policy to show your insurance agent is a good idea so he/she can help you evaluate what you need to buy coverage for and what you do not need to spend money on. Also ask the condo association what happens in the event your condo is not livable after a hurricane. Be sure to have “loss of use” coverage on your policy. This coverage may vary from company to company in name and in coverage, but if your condo is not livable, the insurance company will offer living expenses for renting another condo/apartment/home. Typically “loss of use” has a time and coverage limit. (see a previous article on condo insurance at www.insuranceofcharleston.com/news/?cat=9 )
OTHER TIPS for Hurricane Season-
Take a hard copy of your insurance policy with you when you evacuate. Be sure you have the companies claims hotline to call immediately upon your assessment of the damages.
Take all other important family documents with you when you evacuate.
Inventory your contents- (see article www.insuranceofcharleston.com/news/?cat=6 ) Be sure you have a list of all valuables/contents whether it is written or documented on video.
When you prepare your home for a storm take all patio furniture and grills off of your porch or deck and store inside. (These items can cause a great deal of damage when strong winds move them.) Move all furniture away from windows where water may be blown in. Place towels at door ways or windows to absorb any rain water that may be blown in or seep under a doorway. Unplug all electronic equipment and get them off of the floor level. Garage doors withstand wind better when braced with horizontal bracing such as a 2×4. Secure all shutters and or plywood over windows. IF you use plywood it should be at least 5/8 inch thick and cover the entire opening of the window or door. Have an emergency kit, food and clean drinking water for your family. If you are ordered to evacuate, please take your family to safety immediately.
IF you have any questions about hurricane insurance, please call our agency at 843-881-2886 or send us a contact and ask your question. Regardless of who you are insured with, please contact your agent and review your policy NOW not later!
Be safe and be prepared!
Philip Bradley
Philip L. Bradley is CEO of The East Cooper Ins Agency in Charleston, SC. He is licensed in property and casualty, life and health insurance in the state of SC. He is also a personal financial representative. For more information, please contact him at Philip@insuranceofcharleston.com or 843-881-2886.
Please consult your insurance professional and or an attorney before making any major decisions regarding insurance or financial decisions.
