Now is the time to review your insurance policies and speak to your agent about the coverage you will need in the event of a disaster this season. For example, you should know whether your policy would pay replacement cost or actual cash value for a covered loss. The latter generally will not pay enough to replace a destroyed item at today s prices. In addition, you may want to upgrade your policy if it doesn t cover the current value of your home and its contents. Be sure you know what your deductible is on hurricane losses.
Most policies now have a hurricane deductible of two to five percent of a home s insured value.
If your property is damaged, you will be responsible for a portion of the repair costs. If you live in a coastal or flood-prone area, you may need a separate wind or flood policy. A standard homeowner s policy does not cover flood damage. There is a 30 day waiting period after the purchase of flood insurance before the coverage takes effect. Inventory your household items, including receipts, purchase dates and serial numbers.