Licensing

Up Coming Events

«March 2024»
MonTueWedThuFriSatSun
26272829123
45678910
11121314151617
18192021222324
25262728293031
12
NFIP Claims Adjuster Presentation Webinar – April 2, 2024

NFIP Claims Adjuster Presentation Webinar – April 2, 2024

 

Webinar Opens:  8:30 AM Central Time
Start Time:  9:00 AM Central Time
Lunch Break:  30 Minutes
End Time:  3:30 PM Central Time

 - ​Register

Please register for one presentation only.*

Read more
34
NFIP Claims Adjuster Presentation Webinar – April 4, 2024

NFIP Claims Adjuster Presentation Webinar – April 4, 2024

 

Webinar Opens:  8:30 AM Central Time
Start Time:  9:00 AM Central Time
Lunch Break:  30 Minutes
End Time:  3:30 PM Central Time

- ​Register

Please register for one presentation only.*

Read more
567

Forum Discussions

Simply Snap, Speak & Send



Hurricane and Windstorm Deductibles

CADO Admin
/ Categories: Hurricanes, Wind Pools
Hurricane and Windstorm Deductibles

The source of the information below is the Insurance Information Institute, iii.org


Nineteen states and the District of Columbia have hurricane deductibles: Alabama, Connecticut, Delaware, Florida, Georgia, Hawaii, Louisiana, Maine, Maryland, Massachusetts, Mississippi, New Jersey, New York, North Carolina, Pennsylvania, Rhode Island, South Carolina, Texas, Virginia and Washington DC. Listed below are reports for these states detailing hurricane deductibles.

  • Trigger: an event that is needed for a hurricane deductible to be applied. Hurricane deductibles are “triggered” only when there is a hurricane, or a tropical storm. Triggers vary by state and insurer and may apply when the National Weather Service (NWS) "names" a tropical storm, declares a hurricane watch or warning or defines the hurricane's intensity. Triggers generally include a timing factor, i.e., damage occurring within 24 hours before the storm is named or a hurricane makes landfall up to as long as 72 hours after the hurricane is downgraded to a lesser storm or a hurricane watch cancelled.

How Hurricane Deductibles Work

There are two kinds of wind damage deductibles: hurricane deductibles, which apply to damage solely from hurricanes, and windstorm or wind/hail deductibles, which apply to any kind of wind damage. Percentage deductibles typically vary from 1 percent of a home's insured value to 5 percent. In some coastal areas with high wind risk, hurricane deductibles may be higher. The amount that the homeowner will pay depends on the home's insured value and the "trigger" selected by the insurance company, which determines under what circumstances the deductible applies. In some states, policyholders may have the option of paying a higher premium in return for a traditional dollar deductible, depending on how close to the shore they live. In some high-risk coastal areas, insurers may not give policyholders this option, making the percentage deductible mandatory. 

The above information is from a Insurance Information Institute, (iii.org) article and a link below will take you to the full article on their website which provides additional information.

Comment

warning
You don't have permission to post comments.
Sketch My Roof