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As of this morning, there have been nearly 40,000 insurance claims filed due to damage from Hurricane Matthew. Those numbers will surely rise in the coming days as people continue to find damage to their property related to the storm that hit Florida a mere four days ago.
The Florida Office of Insurance Regulation released Matthew claims data on October 12. About 90% of the claims were for residential property damage. So far, there have been 1,800 flood claims reported by people with flood policies through the National Flood Insurance Program, and 28 claims for private flood insurance, which is coverage outside the government program.
Hurricane Matthew is slowly advancing up the coast, bringing with it winds in excess of 100 mph and the potential for incredibly powerful storm surge. As Floridians, we hang tough, but know when to get out of harm’s way and let emergency responders do their jobs.
To help you prepare and fall back, and then regroup/recover when it’s safe to return to your homes and places of business, we offer the following key preparedness and recovery links.
Keep this list handy. And please stay safe, everyone.
- Division of Consumer Services Hurricane Matthew Resources
- Tips and resources from BeReadyFlorida website
- Insurance Resources from the office of the Florida CFO
- Disaster preparedness and response links from the Florida Department of Elder Affairs (DOEA)
- Florida Dept. of Health preparedness and response resources
And here are some useful articles and how-to videos from the I.I.I.
Florida Governor Rick Scott issued an executive order yesterday putting the entire state on notice that ill winds are coming. The National Hurricane Center continues to update its advisories, and hurricane watches and warnings are in effect. A warning means take immediate action. This is not a drill.
The hurricane drill may be a distant memory for some. Here’s hoping those who had experience with the storms of 2004 and 2005 provide quick tutorials, and the lessons are put into practice. If you are in an evacuation zone and in an area where a hurricane warning has been issued, get on the road — while you still can. Don’t fight with the authorities over your right to stay. Don’t fight with the wind because it’s stronger than you. The (often) arduous journey of your flight to safety is a better tale to tell than a first-person account of the physical mess Matthew is expected to deliver.
Be safe. Be Ready, Florida.
Late summer is the peak time for hurricane season. And as if on cue, there’s a few storms brewing out in the Atlantic. It’s too early to tell if they will impact Florida, but it is not too early to prepare as if they are.
Review our hurricane season insurance checklist. First on the list is probably the most important: Make certain to have enough coverage to completely rebuild your home in the event it is severely damaged or destroyed. This means sufficient insurance protection to rebuild your home and replace all its contents.
Don’t confuse the real estate value of your home with its insurance cost. Typically, the older your home the bigger the gap between what it costs to insure it, which is the rebuilding costs, and what you would get if you sold it.
Let’s start with the most important tip about deductibles: You should NEVER select a higher deductible than you can afford.
Big deductibles reduce the amount you pay for insurance. But the higher the deductible, the more you pay out of pocket when things go wrong. That means selecting a hefty deductible is only smart in a Perfect World. And, while we all wished we lived on that planet, all kinds of disasters happen – manmade and natural – to mess with it, at least temporarily.
You have two deductibles on your homeowners insurance: one is for hurricanes and the other is for everything else. The “everything else” deductible is for things like a fire, lightning strike or water damage, to name a few. It is usually a flat dollar amount, such as $1,000. The hurricane deductible is, obviously, for hurricanes – and for homes valued over $100,000, it starts at 2 percent of what the home is insured for, which is what it would cost to rebuild it. So, if the house is insured for $250,000, a 2 percent deductible would be $5,000.
In Florida, you can select up to a 10 percent deductible. And, some people decide to do that, which is fine if you have a plan to save that amount of money and keep it secured for when the wind blows.
Here is a handy factsheet on how insurance deductibles work in Florida. The Florida Office of Insurance Regulation explains when hurricane deductibles go into effect and how long they last. Regulators also require this notice on the declarations page of every homeowners policy, in boldface type of at least 18 points:
“THIS POLICY CONTAINS A SEPARATE DEDUCTIBLE FOR HURRICANE LOSSES, WHICH MAY RESULT IN HIGH OUT-OF-POCKET EXPENSES TO YOU.”
Now is the time to verify that the deductible amount you chose makes sense for your circumstances.