A San Diego Personal Insurance Update
Are you concerned about wildfires and other disasters that might destroy your home, car, and other personal property? Many in California are exposed to earthquakes, landslides, floods, high winds, wildfires, and other disasters that cause considerable damage and loss. While it may not be possible to stop wildfires and other natural disasters, there are many things you can do to protect yourself and your family from financial disaster.
According to many experts, California is one of the top-rated states for disasters. That is why it is important to have the best possible combination of disaster coverage, price, and service.
What Are the Most Common Disasters California Homeowners Face?
Wildfires. Wildfires are fires that have a major impact on homeowners in California. Wildfires are generally located in remote areas, but also run through housing developments and cause major loss and damage to homes.
Earthquakes. Earthquakes occur almost every day in California. Earthquake damage is not covered under a standard homeowner’s insurance policy.
Flooding. Floods can occur in areas far away from rivers and oceans. Floods are rising waters caused by heavy rain or snowmelt, resulting in rivers and waterways breaching their banks. Flooding is not covered under a standard homeowner’s insurance policy. Flooding is not considered back-up water from the sewer causing water damage in your home.
Landslides. A landslide is a movement of land down a slope. Landslides can be caused by heavy rain, flooding, earthquakes, and even improper engineering in the design of a home or development.
How Will Your Homeowners Insurance Respond?
It is very important to have a good understanding of how your homeowner’s insurance will respond to these kinds of risks and how to protect you and your family from financial disaster. That is why we are here to help you understand your risks and how to manage them. For example, your homeowners or renters policy will most likely cover a loss because of a wildfire. On the other hand, your homeowners or renters insurance will not cover floods or earthquakes. There are separate policies for these kinds of disasters.
Homeowners Insurance vs. Wildfires
Most homeowner’s insurance policies will cover losses from wildfires. The insurance company will pay the cost to repair and restore your home and replace your personal property. If you are forced to evacuate your home and vandalism occurs, your homeowner’s insurance will also cover that loss. Some homeowners’ insurance policies also provide a limited amount of coverage for trees and shrubs.
Homeowners Insurance vs. Floods
Damage from flooding is not covered under a homeowner’s insurance policy. You need a special policy offered through the Federal Flood Insurance Program. You might need to consider flood insurance even if you do not live close to floodwaters.
Homeowners Insurance vs. Earthquakes
Earthquake insurance must be added to your personal insurance program through a separate policy or endorsement to your current homeowner’s insurance coverage.
Homeowners Insurance vs. Landslides
Homeowners insurance typically does not cover landslides or mudslides. That is because both are generally considered a form of earthquake or earth movement. Moreover, like an earthquake or sinkhole, they are most likely excluded from a standard homeowner’s insurance policy.
Homeowners Insurance to Consider for Disasters
Every homeowner’s insurance policy is different, but there are some coverage’s that you may want to consider that will help you in the event of a disaster.
Additional Living Expenses can provide you with additional coverage for expenses associated with a covered loss. This can include renting a hotel in the event your home is damaged and needs to be repaired. It can cover hotel bills, restaurant meals, and other costs (over and above your usual living expenses) incurred while your home is being rebuilt, because of a covered loss.
A standard homeowner’s insurance policy will provide some limited coverage for other structures on your property. If you have barns or other structures, you might want to call your agent to make sure they are covered.
Disaster Claim Processes
If you or your family is involved in a disaster, we are here to help you through the recovery process. Here are some things to remember:
- Read your homeowners or other insurance policies to make sure you know your rights and responsibilities.
- Contact our office as soon as you can. We can help you know your rights and responsibilities. You will most likely need to provide your insurance company with a completed “proof of loss” form. This document will ask for a description of each damaged piece of personal property, the approximate date of purchase, and what it would cost to replace or repair it.
- Document your loss as best as you can. This might involve taking photos and recording expenses as they come up.
Please remember that this is only a general overview of some of the personal insurance products we offer. Each insurance policy is different. All claims will be settled based on the terms and conditions of your individual personal insurance policy.
For more than 3 decades, Wayne McCormick, CIC, of McCormick Insurance Solutions has been serving the insurance needs of San Diegans who are looking for the right coverage for their auto, home, life, motorcycle, boat, RV and more. “I put my family and clients first.”
Focused on getting to know you and your unique lifestyle needs, the “Insurance Sensei” Wayne McCormick will offer you and your loved ones: