The term “hurricane insurance” can be misleading. There is no policy that covers all the damage caused by a hurricane. However, most home insurance policies, like the ones from Kin, do offer coverage for hurricane wind damage. However, if you live in a hurricane- or tornado-prone area, your homeowners insurance policy usually has a separate deductible that applies for the wind and hail damage caused by named storms.
For the flood damage caused by hurricanes, you need either a separate insurance policy altogether or a policy with an added flood insurance endorsement. A standard homeowners insurance policy doesn’t cover water damage caused by storm surge.
The following states usually have separate hurricane, wind, or named storm deductibles for home insurance in coastal regions:
- New Jersey
- New York
- North Carolina
- Rhode Island
- South Carolina
States in “Tornado Alley,” like Oklahoma, Kansas, Nebraska, Missouri, Iowa, and South Dakota, may also have separate wind/hail deductibles.
What Does Wind Insurance Cover?
Hurricane or wind insurance can typically pay for wind damage to your home and belongings. For example, this coverage may help pay for:
- Wind-related damage to your house, roof, belongings, and other structures, such as a garage or shed.
- Tree removal if wind knocks your tree onto the home.
What Doesn’t Wind Insurance Cover?
Hurricane or wind insurance in your home insurance policy typically can’t pay for:
- Wind damage to your vehicle.
- The removal of debris that hasn’t caused damage to the house (e.g., branches scattered throughout the yard).
- Wind or hail damage to shrubs and trees.
How Hurricane Deductibles Work
As mentioned earlier, your hurricane deductible is separate from the general home insurance deductible that applies to other covered perils, such as fire, theft, or vandalism claims.
While your general deductible is usually a flat dollar amount, your hurricane deductible is a percentage of the coverage you have for your dwelling – typically 1%, 2%, 3%, 5%, or 10%. So if you have $300,000 in dwelling coverage and a 2% hurricane deductible, you’ll pay $6,000 out of pocket for a wind claim before your insurance benefits kick in to cover the rest.
Usually, a hurricane or wind deductible will apply during named or severe storms. States have their own regulations for hurricane and wind deductibles, including the weather conditions and timeframes during which these separate deductibles apply. Depending on your state of residence and your insurance company, you should also check to see if your deductible applies each time a storm occurs, or if multiple events apply toward a calendar year deductible. For clarification, ask your insurance provider.