Your house is probably your biggest investment, so that means your home owner’s policy may be the most important insurance you buy. That and life insurance, of course. But when it comes to home insurance, it’s important to understand the fundamentals of diaster coverage and how it affects your house. This post provides information on what disaster coverage is within your home owner’s policy and how to make sure it covers you and your belongings appropriately here in the Kennewick, Pasco, Richland and outlying areas that we live.

1. What Is Disaster Coverage in Home Insurance?

Disaster coverage refers to the specific parts of your home insurance policy that protect against damage caused by natural disasters, such as floods, earthquakes, wildfires, and hurricanes. Not all disasters are included – you may be surprised to learn – and additional policies or endorsements may be something you want to consider.

Commonly Covered Disasters:

• Fire and smoke damage
• Windstorms and hail
• Lightning strikes
• Certain types of water damage (like a burst pipes)

2. Why Is Disaster Coverage Important?

Natural disasters can cause extensive damage to homes, leading to costly repairs that may take a long time to get done. Without adequate insurance coverage, you may face financial burdens that could potentially lead to losing your house! Disaster coverage provides a safety net to make sure you can have your home repaired or rebuilt. Some studies have revealed that as many as 60% of our fellow citizens in the Tri-Cities are underinsured when it comes to their home owner’s policy.

3. Understanding Standard vs. Supplemental Coverage

While most standard homeowner’s insurance policies offer protection against common events, they often exclude specific types of disasters such as floods and earthquakes. To be fully protected, you may need to purchase separate policies or endorsements.

Standard Coverage Inclusions:

• Fire and smoke
• Vandalism
• Theft

Supplemental Policies May Be Needed for:

• Floods (requires a separate flood insurance policy)
• Earthquakes (requires earthquake coverage or a policy endorsement – an add-on to your current insurance policy)
• Hurricanes (you may need windstorm insurance depending on your location)

4. Determining If Your Policy Meets Your Needs

Reviewing your insurance policy is crucial to ensuring you are adequately covered. Consider the following:

• Location: Areas prone to specific natural disasters, such as hurricanes or earthquakes, have higher insurance needs.
• Policy Limits: Confirm that the policy limit is sufficient to cover the replacement cost of your home and belongings. You need to know what it costs to rebuild your home, if necessary.
• Deductibles: Understand the deductibles associated with different types of coverage. Higher deductibles may reduce premiums but increase out-of-pocket expenses if you make a claim.

5. Tips for Reviewing Your Home Insurance Policy

• Consult Your Agent: Speak with your insurance agent to confirm which events are covered and whether additional endorsements are recommended. We work with Adam Hoover at Country Financial if you’re looking for a local agent (https://advisors.countryfinancial.com/usa/wa/kennewick/adam-hoover).
• Check Exclusions: Read through the policy exclusions carefully to know what is not covered. You may be surprised with what you read.
• Update Regularly: Reassess your policy annually or after significant home improvements to ensure your insurance is still appropriate.

We wrote this article on the subject and recommend reviewing it: https://dryerfirefighters.com/reviewing-your-home-insurance-policy-annually-why-its-important-and-how-to-do-it/

Conclusion

Having a well-rounded home insurance policy with proper disaster coverage is so important when it comes to protecting your property and financial stability here in the Tri-Cities. By understanding what your policy includes and making any necessary additions, you can achieve that peace of mind knowing you are prepared for unforeseen events. Dryer Fire Fighters encourages its fellow homeowners of the Tri-Cities (Kennewick, Richland, Pasco) to proactiving conduct insurance reviews and consider proper disaster coverage to stay safe financially.