If you own property in an area of the United States with a high hurricane risk, make sure you understand your insurance policy terms with regard to hurricane-related coverage. Beyond ensuring you have property damage coverage in the event of a natural disaster, your policy may include a hurricane or named windstorm deductible. If so, as the property owner and policyholder, you will be responsible for paying your share of the costs associated with damages and repairs.
What Is A Hurricane Deductible?
A hurricane deductible applies to property damage caused by storms categorized as hurricanes by the National Weather Service or U.S. National Hurricane Center. Just like health insurance, a hurricane deductible is the amount of money the insured must pay toward their own loss before the insurance company’s obligation to pay kicks in. The specific terms of your agreement are laid out in the insurance policy.
This type of deductible only applies in certain situations dictated by the terms of your insurance policy. The insured’s responsible portion is generally calculated as a percentage of the property’s total insured value. And most hurricane deductibles work the same way: when a named storm damages your property, you as the insured will be responsible for paying the first one-to-five percent (or more) of the claim yourself.
Hurricane Deductible Reimbursement Policies
Some property owners may qualify for an additional insurance product called a hurricane deductible reimbursement policy. These policies are designed to cover the high costs of hurricane deductibles and thus ideally eliminate out-of-pocket expenses for the insured in the event of a hurricane-related loss. The best available versions of these policies afford property owners in high risk areas with first-dollar coverage in the event of a natural disaster.
Insurance Coverage Lawyers
The experienced insurance attorneys of Raizner Law routinely handle insurance claims throughout Texas and across the country. We offers free consultations where we review the facts of your potential case and let you know the best course of action. Feel free to contact us today to learn more about how we can help you obtain the claims payout you are owed under your insurance policy.