Hurricane insurance, also known as windstorm insurance or wind and hail insurance, is a type of property insurance that protects against losses caused by hurricanes and related dangers like hail, strong winds, and heavy rain.
This insurance covers both the structure and contents of a home or other insured property when directly damaged by a hurricane or windstorm.
Aside from replacing personal belongings and covering additional living expenses if the insured property becomes uninhabitable due to hurricane damage, this insurance type may also include coverage for various related costs. And this could involve expenses like debris removal and temporary repairs to prevent further damage.
However, it’s important to note that this type of insurance is often separate from standard homeowners insurance and may be required for homes located in areas prone to storms.
In addition, some insurance companies may impose deductibles specifically for hurricane-related claims, which can vary based on factors like the property’s location and its risk level for storms.
How Does It Work?
Hurricane insurance operates similarly to other property insurance policies but is specifically designed to protect against damages caused by hurricanes and related perils.
Homeowners purchase a policy that outlines coverage limits, deductibles, and premiums. Premiums are paid regularly, and the amount is determined based on factors like the property’s value and location.
However, in the event of hurricane damage, homeowners file a claim with their insurance company, providing details and documentation of the damage. The insurer evaluates the claim and, if approved, provides financial compensation to repair or replace the damaged property, up to the coverage limits.
Homeowners are responsible for paying a deductible before the insurance coverage starts. Policies typically last for a specified term and can be renewed annually.
What Does Hurricane Insurance Cover?
Generally, hurricane insurance provides coverage for wind-related damages incurred during a hurricane.
However, it’s important to note that coverage for hurricanes usually comes from a combination of insurance policies rather than a single policy.
So, since you can’t get a single policy, you can opt for homeowners insurance. If you’d be going for that, here’s what your homeowners insurance policy typically covers about hurricanes:
- Personal property coverage.
- Loss of use coverage.
- Dwelling coverage.
- Other structures coverage.
If you experience damage falling under any of the mentioned categories, your homeowners’ insurance can provide coverage.
Meanwhile, windstorm insurance, on the other hand, typically covers the expenses for renovating or repairing your home if it’s damaged by wind during a hurricane.
Conversely, flood insurance compensates for property damage within your home caused by water.
How Much Does Hurricane Insurance Cost?
The average annual cost of hurricane insurance is $1,750, serving as a baseline for this type of insurance.
However, several factors can influence the actual cost of a hurricane policy. These factors include the deductible you select, your location, and the amount of coverage you opt to purchase.
States Where Hurricane Deductibles Are Applied
Below are the regions or states in the United States of America that allow hurricane deductibles:
- New York.
- Maine.
- Alabama.
- Pennsylvania.
- Washington D.C.
- Maryland.
- Rhode Island.
- Connecticut.
- Hawaii.
- Delaware.
- South Carolina.
- Virginia.
- North Carolina.
- New Jersey.
- Florida.
- Mississippi.
- Texas.
- Massachusetts.
- Georgia.
- Louisiana.
For those unfamiliar, hurricane deductibles are applicable deductibles that can be triggered by any named storm. They are also referred to as storm deductibles.
How To Get Hurricane Insurance
As previously mentioned, this insurance type cannot be obtained as a single standalone policy. Instead, you can buy homeowners insurance, flood insurance, and windstorm insurance collectively. If you already have one of these types of insurance, you can then purchase the remaining two.
However, before making a decision, it’s important to compare the coverage and exclusions offered by different insurance companies.
Also, you have the option to purchase these policies from different insurers. To estimate the cost of this insurance type, you would add together the costs of these three policies.
Where To Find The Best Hurricane Insurance Policy
Several companies offer hurricane insurance policies. But using the best gives you the opportunity to experience top-notch customer service and get the best policy and coverage. However, here are some of the best hurricane insurance companies:
- Lemonade.
- Amica.
- State Farm.
- Kin.
- PURE Insurance.
- Travelers.
- USAA.
- Nationwide.
- Liberty Mutual.
- Chubb.
- National General.
You can consider any of these companies when you want to purchase a hurricane insurance policy at a good price and get the best coverage options.
