Despite the unique blend of risks that homeowners face-from tropical storms and flooding to everyday damages to their properties-many tend to believe their policies are wholly protective in any situation until it bites too late. For instance, if you happen to own a home in St. Pete, even if you paid for the policy, it is important to be aware of what exactly it consists of and what it does not cover.
Here is what you need to be looking out for so that when you need coverage, you wouldn’t be left exposed.
Water Damage is Not Everywhere Covered
Water damage is among the most common causes of homeowner claims, but the types of damage from water are not all included in standard policies. While insurance may cover sudden events such as a burst pipe or a leak from an appliance, floodwater from hurricanes, rising groundwater, or storm surge usually falls under an exclusion. If your policy doesn’t have separate flood insurance, prepare yourself for a significant repair bill.
Hurricane Damage Has Special Rules
Since St. Petersburg is a high-risk hurricane zone, most insurance policies in this area offer a hurricane deductible, which works differently from the standard deductible. This deductible is based on a percentage of the insured value of your home instead of being a flat fee. Hence, even a minor damage event can become sufficiently costly out of pocket if one is not prepared.
Do You Have Ordinance or Law Coverage?
If your house has to be built or renovated to comply with newer building codes, then there wouldn’t be coverage under the standard policy for such upgrades related to any codes. This is when an ordinance or law coverage comes in very handy and is a must for older homes. Without such coverage, you might have to pay thousands more to get your property that last bit up to current standards.
Loss of Use Coverage Has Limits
The loss of use coverage will help with hotel stays, food, and travel if your house becomes uninhabitable after a disaster. But there is a catch, as this coverage has its limits, and it might run out before the repairs are done. Be sure you understand how much is included and whether it is enough to cover the real cost of temporary living in your area.
Valuables May Contain Extra Needs for Protection
Most policies will have a limit as to how much they will pay for particular high-value goods like jewelry, electronics, artwork, or collectibles. If possession of such items is high, the owner should inquire about scheduled personal property coverage with the agent. Otherwise, the owner might be reimbursed much less than what the items were worth.
This post was written by Kelly-Ann Jenkins of Jenkins Law P.L. Kelly-Ann is an insurance attorney in St. Petersburg, FL. The information on this site is not intended to and does not offer legal advice, legal recommendations, or legal representation on any matter. Hiring an attorney is an important decision that should not be based on advertising. You need to consult an attorney for legal advice regarding your situation.
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