What does my insurance cover in the case of a natural disaster? See below for a quick summary of coverages. For a more complete explanation, please consult your agent or insurance carrier.
Homeowners and Renters Policies
Homeowner’s and renter’s policies generally cover your home and its contents against loss due to specified risks, known as perils. Some policies cover only specific perils, while others may be “all risk.” For a more complete explanation of what homeowners and renters policies cover, see our homeowners tab and its links to more information.
Whether a policy is for specified perils or all-risk, there are certain types of loss that are specifically excluded from coverage. Among the exclusions are not only maintenance problems for your home but some types of natural disasters as well. So what is covered and what is not covered?
- Wind Loss – Tornado, Hurricane, and High Winds: Losses due to wind are considered basic coverage and are therefore covered under virtually all types of homeowners and renters policies.
- Hail: Hail damage to your home is also covered under virtually all types of homeowner’s and renter’s policies.
- Earthquakes: Earthquake losses are specifically excluded from most homeowners and renter’s policies. Coverage may usually be purchased as additional coverage, so check with your agent or insurer. For more information on earthquake preparedness in Kentucky, see here.
- Floods: Flood losses are also specifically excluded from most homeowner’s and renter’s policies. Coverage can be obtained from the National Flood Insurance Program or a limited number of private insurers. If you live in a flood plain, your mortgage holder will likely require you to obtain flood insurance. You can find some good general information on flood insurance here.
Auto Policies
Coverage for the damage to your car is generally separated into two types of coverage, collision and comprehensive or “other than collision.” Natural disasters such as wind loss, hail, floods, and earthquakes generally cover your car under the “other than collision” coverage. Collision and “other than collision” coverage must be purchased separately.
Settling Claims after a Disaster
The Insurance Information Institute also has an excellent publication “Settling Insurance Claims After a Disaster” which you can see here. Also, we have more information specifically for home, auto, and business losses on those individual pages.
Given the devastating losses that can often occur with one of these natural disasters or with a fire loss, homeowners and renters should consider preparing a home inventory before they have a loss. Information can be found by clicking here and here.