Many people sadly find out after a major hurricane that they were underinsured, so they are not fully reimbursed for all of their damages. As we saw last hurricane season, in Texas with Hurricane Harvey and in Florida with Hurricane Irma, it is important to make sure your home has the right insurance coverages and the proper coverage limits this hurricane season.
After both of these major storms and the billions of dollars of damages, there were numerous people who either did not have the right coverage on their home or did not have sufficient coverage limits. To avoid finding out your home is underinsured after a major storm, our insurance claim lawyers recommend reviewing the following tips:
- Conduct a valuation assessment of your entire home and all of your belongings. Make a list of all of your property and its replacement costs. Call a local home builder and find out how much it would cost to rebuild your home.
- Do a detailed review of your insurance policies, coverage limits, and deductibles. Go over your policies—you should have your normal homeowner’s policy, a hurricane coverage policy, and, possibly, a flood insurance policy if you live in a known flood zone.
- Compare your valuation assessment amounts to coverages in your insurance policies. As you are going through your insurance policies, look and see what the maximum limits are for replacing your home and its contents.
- Make adjustments to coverage limits. If you noticed your coverage limits seemed lower than the true value of your home and its contents, contact your insurance agent and have the limits increased.
- Consider lowering deductible limits. If you have a high deductible, say $2,500 or more, this is the amount you have to pay out of pocket before your insurance company will reimburse you for any property damages. If you know you cannot come up with such a large amount up front to repair your home, lower it to an amount you can afford.
Keep in mind, if you increase coverage limits and/or lower deductibles, your insurance premiums could increase. However, it is better to have the peace of mind of knowing your home and its contents are fully protected from hurricane and flood damages.