Hurricanes Helene and Milton have brought devastation to the US, highlighting the importance of understanding homeowner’s insurance policies. A recent survey found that 56% of respondents mistakenly believed a standard policy covers flood damage, despite only 4% of homeowners having flood insurance.
To avoid financial consequences from natural disasters or accidents, it’s essential to understand what’s covered and what’s not. Homeowners should review their policies and consider purchasing supplemental coverage for items like fine jewelry, collectibles, and artwork.
Additionally, knowing the terms of your policy can help you avoid surprises. For example, insurance typically doesn’t cover damage from mold, insects, or rodents caused by neglect or normal wear and tear. Insurance companies may also deny claims if the reason for the damage is deemed an “act of God” unless it meets specific criteria.
Homeowners with expensive homes or significant assets should consider purchasing an umbrella insurance policy to provide additional coverage beyond their existing policies.
A review of your homeowner’s insurance policy is crucial part of ongoing financial planning. By understanding what’s covered and taking steps to supplement your coverage, you can better protect yourself against unforeseen events.
Source: https://www.mansionglobal.com/articles/flood-insurance-is-a-hot-topic-heres-the-other-coverage-that-could-be-missing-from-your-policy-5ab8cfce?gaa_at=g&gaa_n=AWsEHT7JcHU9DzBa37o6VvlraBB2E-8c4p75FE7bmE8aRhvXohAn1e6hKxRd0mmXrCDjFxKTFETvziJ0fdaG&gaa_ts=6727c8c1&gaa_sig=YC3_AiYJCeWYdpGMSqFKR2UBPFTixxC8MYm3zTOHXK8cWPJWGR516AKgrv9CaSnrpnj7an9Dbq1x-Zg2_DXNoA==