Does Flood Insurance Cover Hurricane Damage?
Clarify flood insurance coverage for hurricane damage. Understand policy distinctions to ensure proper protection and claims.
When a hurricane strikes, homeowners often face significant damage, prompting questions about insurance coverage. Understanding the roles of different insurance policies is important, as hurricane impacts can be complex, involving both wind and water. Navigating the aftermath requires knowing which policy addresses which type of damage to ensure a smoother recovery process.
What Flood Insurance Covers
Flood insurance provides specific coverage for damage directly caused by flooding. This typically involves an excess of water on land that is normally dry, affecting two or more acres of land or two or more properties. Such events include overflowing rivers, storm surges, or heavy rainfall leading to widespread surface water accumulation. Most flood insurance policies are obtained through the National Flood Insurance Program (NFIP), a federal program managed by FEMA, though private insurers also offer coverage.
The NFIP offers two main types of coverage: building property and personal property (contents). Building property coverage, up to $250,000 for residential properties, includes the home’s structure, foundation, electrical and plumbing systems, and appliances. Contents coverage, up to $100,000, protects personal belongings like furniture, electronics, and clothing. Flood insurance generally does not cover damage from internal plumbing issues, which are typically addressed by homeowners insurance.
How Hurricanes Cause Damage and Insurance Responds
Hurricanes are natural events capable of causing damage through various mechanisms, primarily high winds and extensive water. High winds can tear off roofs, break windows, and cause trees to fall, impacting a home’s structure and contents. This type of damage, including interior water intrusion that occurs because wind first created an opening in the structure, is generally covered by a standard homeowners insurance policy.
Conversely, hurricanes also bring significant rainfall and storm surge, leading to widespread flooding. Flood damage, characterized by water rising from the ground, such as saturated floors, damaged electrical systems, or mold growth, requires a separate flood insurance policy. A single hurricane event can therefore inflict both wind and water damage, requiring distinct insurance policies. Homeowners insurance policies often include a specific hurricane deductible, which can be a percentage (typically 1-5%) of the dwelling coverage, rather than a flat amount.
Differentiating Water and Wind Damage
Distinguishing between wind and water damage is a complex aspect of filing hurricane insurance claims. Insurance companies evaluate the direct or proximate cause of the damage to determine which policy applies. For instance, if high winds damage a roof and then rain enters through that opening, the damage to the roof and the resulting interior water damage are considered wind-related and covered by homeowners insurance. This is because the wind was the initial, dominant force that created the pathway for the water.
However, if water rises from the ground, such as from storm surge or overland flooding, and enters the home, this is classified as flood damage. Even if the floodwaters enter through an opening created by wind, the primary cause of this specific damage is the rising water, which falls under flood insurance. Homeowners insurance policies explicitly exclude flood damage, making a separate flood policy necessary for such losses.
Damage signatures can also help differentiate: wind damage often progresses from the top down, while flood damage moves from the bottom up. Understanding this causation is important, especially in situations where both perils contribute to the loss.
Filing a Claim After Hurricane Damage
After a hurricane, prompt action is necessary for initiating insurance claims. Homeowners should first ensure their safety and then begin thoroughly documenting all damage. This documentation should include clear photographs and videos of the affected areas, capturing both wide shots and close-ups of specific damage from multiple angles. An itemized inventory of damaged personal property, including descriptions, estimated values, and receipts if available, should also be created.
Contact both your homeowners and flood insurance providers as soon as possible to report the damage. You will likely need to file separate claims for wind damage under your homeowners policy and water damage under your flood policy. Keeping a detailed log of all communications with insurers, including dates, times, and names of representatives, is recommended. When adjusters visit, be present to point out all damages and provide your documentation.