Hurricane Season is here in the Myrtle Beach area!! Hurricane Tips for Homeowners - Insurance Info - and MORE

2009 is predicted to be an active hurricane season. Don’t be caught

unprepared! The steps below will help you minimize hurricane damage

and get back on your feet if you are struck.

Just like hurricanes come in many shapes and sizes, so do insurance

policies. The FAQ included here provides information about what policies

usually cover along with some tips on filing claims. To find out about your

coverage, consult your policy and contact your professional insurance

agent.

• Review your insurance coverage to make sure it

is adequate, and familiarize yourself with any

windstorm deductibles.

• Most hurricane damage is covered under

standard homeowners policies, but it is very

important to insure your home and belongings

to their full replacement cost at current value.

• Flooding is generally not covered under standard

homeowners policies, so ask your agent about

flood insurance.

• If you rent a house or apartment, talk to your

professional insurance agent about purchasing

a renters insurance policy, if you don’t already

have one.

• Make an inventory of your possessions and store

it off premises. If your belongings are damaged,

this list will help in filing a claim.

• If possible, take highly valued items to a safe

location.

• Secure your property before a storm arrives!

• Be aware of personal and physical safety measures

and comply with the orders of local emergency

authorities.

• Secure your premises before evacuating. Once

you have vacated the premises, make sure your

professional insurance agent knows where to

contact you.

• Take pictures of damaged property and keep notes.

• Temporary repairs may be authorized to protect

against further damage. Check with your agent,

insurance company or contact your PIA state affiliate.

Keep all receipts for work.

• Use pictures and inventory lists to help your agent

and adjuster assess the damages.

• Don’t be rushed into signing repair contracts. Deal

with reputable contractors. If you’re unsure about a

contractor’s credentials, contact your claims adjuster,

Better Business Bureau or Chamber of Commerce for

referrals.

You should take all steps necessary to prevent further damage—

securing property, temporarily boarding windows and

roof, drying out carpets and personal property, etc. If the

insured does not do this and further damage results, it may not

be covered.

You should not undertake any permanent repairs, nor dispose

of any damaged property before an adjuster has been able

to see the damage. When there is water damage to the contents

of a home, you should remove water-soaked contents such as

carpeting and furniture, however you should not dispose of

such items before an insurance adjuster sees them. You can

place such items outside under a tarpaulin. In the case of perishable

items (i.e., food) that must be disposed of, first take

photographs of that property to substantiate the claim. If you

do not, some damages may not be covered.

You should retain all receipts for emergency repairs and for

items which might qualify under additional living expenses

(such as water, ice, rental charges at another location if the

home is uninhabitable, etc.).

Although the adjuster will contact you as soon as possible, priority

will be given to the most severe losses. Also be aware

that larger claims will be settled in stages, not all at once.

While waiting for the adjuster, there are a number of things

you can do:

• You may wish to secure a repair estimate (preferably at least

two) for the adjuster to review. This will help the adjuster

with the settlement process.

• Take pictures of the damaged property. If you have pictures

of the property before the loss, these should be provided to

the adjuster.

• Make a list of all damaged property, including a description,

age, original cost, and place of purchase and estimated

replacement cost. Any receipts or canceled checks for these

items should also be included.

Under most homeowners and dwelling forms, coverage is provided

for Additional Living Expenses. If the home is uninhabitable

due to a covered peril and you must temporarily relocate,

most policies will reimburse for the reasonable expenses

incurred over and above your normal living costs. For example,

it would probably cover all reasonable housing expenses

since you will be paying a mortgage payment, but would only

cover food expenses over and above what the policyholder

normally would pay for food.

It is imperative that you retain all receipts for these expenses

in order for them to be considered as a part of the loss. The

expenses must be in line with normal living costs and must be a

necessary and direct result of the loss.

Most policies limit recovery under Additional Living

Expenses to a percentage of the amount of coverage on the

home itself.

There is no coverage under standard dwelling and homeowners

policies for damage to trees by “weather perils” (such as wind).

However, if the tree falls and causes damage to some other type

of covered property (such as a house or fence), the damage to

the house or fence would be covered. Separate windstorm coverage

can be purchased as an added endorsement.

Generally, most residential policies do not cover food spoilage

resulting from power outages due to the “Power Failure” exclusion.

A small number of companies provide some very limited

coverage (i.e., $250 - $500) as a coverage enhancement. Aside

from this, coverage is generally not available.

Most homeowners policies provide coverage as “sudden and

accidental damage from artificially generated electrical current”;

however, coverage does not apply to loss of transistors,

computer chips and similar items. Therefore, damage from a

power surge would not be covered for property such as televisions,

VCRs, computers or similar items.

After the adjuster has visited the insured, he must complete

detailed paperwork on the loss, which is subsequently submitted

to the carrier for review. After everything has been

checked, the carrier will issue the claims draft to the insured.

If the adjuster is carrying a heavy claim load, there is often

quite a delay in completing the paperwork by the adjuster,

since they generally must do this at night, as well as the delay

at the company as it deals with thousands of claims to review

at one time. Often, an insurance agent can check with the

adjuster to find out exactly when the paperwork was submitted

to the carrier. If the papers have been sent in, the company

may also be able to provide a status report.

If the check is for a lower amount than the insured expected,

it is usually due to policy terms that require settlement on an

actual cash basis with replacement cost being paid at the time

repairs or replacements are actually completed. Check with

your agent or company.

If the policy indicates that settlement will be on a replacement

cost basis, then payment will be made for the actual cost to

repair or replace at today’s prices, limited only by the total

amount of coverage that was purchased.

If the adjustment basis is actual cash value, settlement will

be made by determining the replacement cost at today’s prices

and subtracting from that amount a reasonable amount for

depreciation, age or obsolescence. Some policies provide coverage

for the home on a “Guaranteed Replacement Cost” basis.

In this situation, the carrier will pay whatever it costs to repair

or rebuild the home, regardless of policy limits.

Too often, homeowners neglect to review their homeowners

insurance. Changes to your home such as the addition of a room

or an increase in your home’s value may affect your coverage.

Call your professional insurance agent for the best advice.

Be sure to call Jake Lee, Myrtle Beach - Pawleys Island Realtor, if you are interested in buying or selling real estate this hurricane season! Visit www.JakeLeeRealEstate.com for more info or call Jake directly at 843-240-0431

*Insurance information has been provided by Bollinger, Inc & PIA and is used with their permission.
For more info about insurance contact
Donna Millen, Insurance Advisor
Bollinger, Inc.
Cell: 843-457-1893
donna.millen@bollingerinsurance.com