Natural Disasters and Home Insurance: What You Need to Know

Natural disasters can cause extensive damage to your home.  Disasters like hurricanes, tornadoes, floods, earthquakes, wildfires, and winter storms threaten the structural integrity of homes, ruin belongings, and damage automobiles beyond use.  While home insurance offers a safety net, coverage varies by policy and disaster type, so it is important to understand how your home insurance would respond if a disaster struck your most precious asset. 

What Standard Home Insurance Covers: 

• Wind and Hail Damage: Most policies cover damage from storms, though hurricane-prone areas may require additional windstorm coverage. 

• Fire Damage: Wildfires and lightning strikes are typically covered, but damage from neglectful actions may not be. 

• Theft and Vandalism: Policies may cover stolen items during a disaster, but typically exclude items damaged by the event itself. 

What Standard Policies Exclude: 

• Floods: Standard policies don’t cover flood damage; separate flood insurance is required. 

• Back-up of sewers or drains. Standard policies do not include this coverage, but you can buy the coverage for an extra premium from most carriers.  

• Earthquakes: Coverage for earthquakes requires a separate policy. 

• Landslides and Mudslides: Often excluded unless caused by a covered peril, requiring specialized coverage. 

  
  

How to Protect Your Home: 

1. ASSESS YOUR EXPOSURES: Understand local threats like floods or earthquakes.

2. UNDERSTAND YOUR POLICY: Ask your agent to confirm the coverages offered by your existing policy. If your policy does not offer coverage you need, ask your agent to explore policies or endorsements that would provide coverage. 

3. REVIEW YOUR POLICY: Regularly update your policy to reflect home improvements or changes in risk. This is also a good time to ask about new coverages being offered. 

4. PREPARE: Create a disaster plan, including evacuation routes and emergency kits. Natural disasters can be devastating, but the right home insurance can provide the peace of mind you need to recover quickly. Understanding what is and is not covered by your policy—and adding the necessary coverage for floods, earthquakes, and other specific perils—will help ensure that you have adequate protection.