Eli Zimmer
Daigle Travers Insurance Darien
5 min readJun 9, 2017

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An Insurance Guide to Hurricane Deductibles by Daigle & Travers, Darien, Connecticut (203) 655–6974

Many homeowners living on or close to the coast wonder if their property is covered against hurricane damages. If you own a waterfront property or live close to the coast, being covered against these tropical storms is a must!

High winds and tropical storms are very typical of living close to or on the Eastern Seaboard. In the case of one of these events occurring, there are certain steps you can take to make sure that you have the proper coverage. Insurance policies covering property along the coast may contain what is called a “hurricane deductible” and it may come into play in the event of a storm.

What is a hurricane deductible?

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A hurricane deductible is part of a homeowners’ insurance policy. They typically go into effect in states when the National Weather Service issues a hurricane warning or watch, or when winds reach levels of at least 74 miles per hour. The deductible for the most part remains in effect until a certain amount of time after the storm has ended.

From the years of 1995 to 2015, there were about $156.8 billion in incurred losses from hurricanes. These deductibles were placed into effect in order to combat against the devastating losses hurricanes can cause.

Your agent will help you assess your risk and needs so that you can find the best policy plan to suit your individual needs.

How much can a hurricane deductible cost you?

Damages or losses incurred from a hurricane under your homeowner’s policy are settled using the hurricane deductible. Typical hurricane deductibles are calculated as a percentage of the structure value of your home.

A percentage deductible typically ranges from 1 to 5 percent. For example, if you own a waterfront property that is valued at $1,000,000 with a 5% deductible, you will have to pay a claim out of pocket that costs $50,000.

Some homeowners’ policies have mandatory hurricane deductibles. This means that insurers will not sell homeowners insurance without a hurricane deductible. Other insurers have optional deductibles, which allow policyholders to choose higher deductibles for a premium credit.

What is my eligibility for a hurricane deductible?

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In addition to the District of Colombia, 19 states have hurricane deductibles.

These deductibles are triggered by events and conditions that have to happen in order to be used in settling a claim.

In some cases, triggers are also affected by the intensity of the hurricane.

Typically, winds have to reach sustained wind speed levels of 74 miles per hour, and be classified as a category 1 hurricane.

Does my homeowners insurance policy contain hurricane deductibles?

As mentioned before there are 19 states, along with the District of Colombia, that contain hurricane deductibles in their homeowners’ insurance policies.

These states generally border the Eastern Seaboard and the Gulf of Mexico.

They include Alabama, Connecticut, Delaware, Florida, Georgia, Hawaii, Louisiana, Maine, Maryland, Massachusetts, Mississippi, New Jersey, New York, North Carolina, Pennsylvania, Rhode Island, South Carolina, Texas, Virginia, and Washington D.C.

Hurricane Insurance FAQs

What if wind levels do not reach speeds of 74 miles per hour. Am I still covered?

Be careful of policies that simply have a wind and hail deductible or a “named storm” deductible. Now you can possibly be subject to the special deductible even if a storm does not reach hurricane status.

These deductibles go into effect when your property sustains damage from high winds. For a “named storm” deductible, this usually means that wind speeds range anywhere from 39 to 73 miles per hour.

Unlike the hurricane deductible though, “named storm” deductibles are typically dollar deductibles that span from $1,000 to $5,000.

What if my property was strengthened to prevent damages from high winds. Am I still covered?

Many states offer premium discounts to policyholders that have taken qualified mitigation measures on their properties.

This typically means that you have built your home in compliance with the construction code of your given state. If this is the case, you should contact your insurance agent to check if you qualify for any premium discounts.

If my property is damaged by multiple hurricanes in a year, will I have to pay multiple deductibles?

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The answer to this question is no. If your property is hit my more than one hurricane in a given year, you will only be required to pay one deductible.

However, your insurer might require you to present records of losses sustained in a previous hurricane, so that they can file additional losses to another hurricane deductible.

This depends on the state you live in, as well as how far away from the coast you are.

For states in the New England area like Connecticut, New Jersey, and Massachusetts, you are likely to have a number of trees located around your property. “Named storms”, high winds, and hurricanes can cause these trees to fall on your property.

If this happens, you may be required to pay your hurricane, “named storm”, or wind & hail deductible. It is important that you check with your insurer to see if you could be subject to incurring one of these special deductibles.

Important Information to Remember

  • Certain mitigation measures can qualify you for premium discounts.
  • Percent deductibles vary by the value and location of your property.
  • Some states have FAIR plans that provide coverage to people unable to find coverage in standard markets.
  • Deductible triggers are affected by the intensity of the storm.
  • Hurricane deductibles are percent deductibles, as opposed to standard deductibles.
  • Hurricane deductibles typically range from 1 to 5 percent of your property value.
  • Some states also offer wind & hail, as well as “named storm” deductibles.
  • Hurricane deductibles are not part of a flood insurance policy.
  • The first day of the hurricane season begins on June 1st.

Would you settle for less?

Daigle & Travers Insurance Darien & Greenwich CT

If you find your current insurance agent is unable to offer you an acceptable homeowners insurance policy, it’s time to find a new agent.

Read over your policy very carefully. Spend time comparing all aspects and not just the prices. Make sure it suits your needs and will help you find the coverage that works best for your specific situation.

Here at Daigle & Travers, we can help you find the best homeowners insurance coverage for your situation and will recommend policies from only the best homeowners insurance companies. Give us a call today (203) 655–6974.

Other Resources to Check on Homeowners Insurance and Hurricane Deductibles

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Eli Zimmer
Daigle Travers Insurance Darien
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Personal & Commercial Insurance in Darien, CT