As a Florida resident, it is fair to say that accepting the risk of damage from a hurricane is practically a prerequisite to being a resident. Adding the right hurricane deductible to your homeowner’s insurance is essential to making sure your home is fully protected.
Of course, the path of a hurricane can affect any part of the state, but statistically certain areas are more prone to damage than others; this is why it is critical to hire an insurance attorney Miami can count on. Your Insurance Attorney can help you navigate through your terms to make sure you get the most out of your policy.
Florida Insurance Regulations
Any state along the southeast and east coasts that has ever been affected during hurricane season has their own regulations when it comes to hurricane-related coverage. While certain stipulations were already in place, the trigger point to adjusting some of these requirements was Hurricane Andrew in 1992, which at the time was one of the worst and most costly hurricanes to date.
Even now almost 30 years later, it still ranks number six of the ten most costly hurricanes in the United States has experienced- number one being Hurricane Katrina in 2005. The terms of the hurricane protection deductibles are broader than many might think. The protection of the deductible takes effect as soon as a hurricane watch or warning is issued by the National Weather Service and up to 72 hours after the watch ends.
That leaves a wide window for damage before or after the storm; for example, damaged tree limbs don’t always fall during the storm- sometimes they take a day or two. Given the cost of the devastation surrounding these storms, paying tens of thousands to policyholders who only had to pay a $500 deductible didn’t seem like a great financial move, especially for those who had bigger, more expensive homes.
Finding the Right Hurricane Deductible
When applying for homeowners insurance, it is essential to have all of your bases covered to keep yourself as protected as possible. For Floridians, that protection generally means adding the extra deductible to your policy to cover hurricane damage.
It is important to speak with an insurance attorney Miami can trust with these dealings. There are two different types of deductibles available: the dollar deductibles and the percentage deductibles. Up until Hurricane Andrew, most policies offered the dollar deductible; this was a flat rate the policyholder was responsible for, the average amount being $500.
This was great for the homeowners, but insurance companies noticed that they were losing more money in the long run. Many companies started using percentage deductibles; rather than being responsible for only one small flat rate, the policyholder is responsible for a percentage of the worth of their home. Most percentage deductibles make the policyholder responsible for two, five, or ten percent of their home’s value. This can vary depending on the company, policy terms, and value of the home.
Worrying about hurricane damage is a way of life for a Florida resident. Finding an Insurance Attorney Miami can trust is important to make sure you get the most out of your hurricane deductible if you ever need it. Call or visit Your Insurance Attorney today for more information.