19, July 2021

Are Natural Catastrophes Covered Under Homeowners Insurance?

Generally, your homeowner insurance protects houses against rainstorms, winds, fire, and snow. Broader homeowner insurance covers extreme natural disasters like wildfires, volcanic eruptions, tornadoes, blizzards and falling meteorites. However, although homeowner insurance has wide coverage, it is still important to take note that homeowner insurance is not all inclusive. Natural disasters like earthquakes and floods are also not covered by typical homeowner insurance policies.

What Disasters are Not Covered by Homeowners Insurance?

There is a list of exclusions to homeowners insurance policies, such as movements in the earth or flooding. Furthermore, depending on where you reside, your policy may have limited coverage in the event where hail causes damage to your property. Here are some disasters that are not covered by homeowners insurance.

  • Damage caused by flood: Often, damage caused by mudflow or floods are not included in homeowners insurance policy, so homeowners are recommended to purchase their own flood insurance policies to be protected from flood damage.
  • Damage caused by earthquakes and sinkholes: Damage which comes as a result of earth movement is also usually not covered by homeowners insurance policies. Disasters which arise from earth movement include earthquakes, mudslides, sinkholes, and landslides. If the area you reside in is especially prone to earthquakes or other natural disasters which could cause damage to your property, then you should purchase an additional insurance to protect yourself from these events.
  • Damage caused by hail: Home insurance policies typically guard homes against damage caused by hail. However, if the area that you reside in has frequent hailstorms, then things could change. In such cases, higher deductibles may be imposed by insurers for hail damage, and insurers may even restrict payment for superficial damage that results from hail. Hence, homeowners may not be able to file claims for the surface damage caused by hail.

Is Tornado Damage Covered by Homeowners Insurance?

Typically, tornadoes are covered by regular homeowners insurance policies. Wind damage caused by tornadoes is not separable from damage that comes as a result of more common and less serious gusts, for insurance purposes. However, as storms may also result in a lot of damage, tornado insurance may be a bit more complicated, especially for homeowners who reside in areas that are more vulnerable.

Is Hurricane Damage Covered by Homeowners Insurance?

Most homeowners insurance will provide partial coverage for damage caused by hurricanes. Hurricanes can also result in strong winds and rainwater which may damage homes. In these circumstances, the damage caused to homes will be covered by homeowners insurance policies. However, if the hurricane results in a flood, damage caused by the flood is excluded from protection. If your home has been damaged by a hurricane, the insurance provider will need to determine whether the damages were a result of the wind from a hurricane or the storm surge that accompanies the hurricane before awarding compensation to homeowners.

Are you thinking about getting homeowners insurance but are not sure what natural catastrophes and disasters are covered by the insurance? Look no further than K&N Brokerage. Here, we offer a high level of customer support and strive to answer all our clients’ queries as quickly as possible. Our team of professionals are also able to give you advice and support through your insurance journey.

Feel free to contact us to find out more today!