Will Your Homeowners Insurance Cover the Next Natural Disaster?

Even if you take great care of your home, there’s little you can do about a catastrophe caused by nature. No matter where you live, you may wonder what types of damage your homeowners insurance covers after a natural disaster. Coverage tends to vary by location and policy type, so use this guide and talk to your insurance provider to learn more.

Types of Natural Disasters Homeowners Insurance Covers

Every policy is different, but these are the natural disasters typically covered by homeowners insurance. Talk to your insurance provider about your hazard insurance options.

Tornadoes

Tornadoes bring high winds, hail, flying debris, and fallen trees, all of which can damage your home. Most homeowners insurance policies cover this damage, though homeowners in tornado-prone regions may have separate deductibles for wind or hail due to their frequency.

Hurricanes

Hurricanes bring many of the same dangers of tornadoes to coastal regions. Homeowners insurance covers wind and hail, but flood damage requires a separate policy.

Fire

Repair or replacement to your home and belongings, as well as tear-down and removal of damaged materials, are typically covered when it comes to accidental fire damage. The exception is in wildfire-prone areas, where additional coverage may be required.

Explosions

If an explosion occurs in or near your home, insurance covers your belongings as long as it was accidental or caused by a riot or other civil unrest.

Lightning

Lightning can cause fires and damage your home’s wiring or electronics, so homeowners insurance will kick in to protect both your home and belongings when lightning strikes. However, if lightning causes damage to the tree next to your home, your insurance may not protect you if that tree falls on your home. Check your policy for specifics.

Volcanoes

Homeowners insurance covers damage from ash, dust, lava, explosions, and fires caused by a volcanic eruption, but damage from resulting earthquakes or landslides is not.

Extreme Cold

Extreme cold can lead to heavy ice, snow, sleet, and wind-driven freezing rain, all of which are covered by most insurance policies. If a pipe freezes and bursts, damage from that pipe will be covered—though not the pipe itself. If melted snow seeps into your home and causes water damage, that damage will be considered flooding and won’t be covered, either.

Types of Natural Disaster Damage That Are Not Covered

While different types of homeowners insurance cover most natural calamities, these policies will not protect you from some types of damage. Some of these events can be covered by an endorsement, or change, to an existing policy.

Floods

Flood damage is not covered by home insurance policies, largely because of how common flooding is in many parts of the country. You’ll have to purchase separate flood insurance coverage, the cost of which varies depending on where you live. Coverage is available through the National Flood Insurance Program and some private insurers.

Earthquakes and Tsunamis

According to the USGS, nearly half of all Americans are at risk of earthquake damage. As a result, most providers offer earthquake insurance at additional cost, either as a separate policy or an endorsement. The same goes for tsunamis, which are caused by seismic activity.

Maintenance Damage

Most policies require you to take reasonable precautions to protect your home from damage and won’t cover damage due to lack of maintenance, mold, or infestation from pests.

Sewer Backup

Sewer-caused damage is not only excluded by homeowners insurance, but is also not covered by flood insurance, instead requiring a separate policy or endorsement.

Nuclear Events

While your homeowners insurance will not cover damage or destruction from nuclear events or explosions, nuclear plants are required to carry liability insurance to protect the public.

Know What Type of Home Insurance Coverage You Need

No policy will protect you from every disaster, and many only cover named perils, or types of damage explicitly defined in the policy. Understand your homeowners insurance policy, so you know what to expect when disaster strikes.

Exclusions, or events your policy won’t cover, may vary based on where you live. The list below briefly describes each type of home insurance policy, but you should discuss your specific policy with your insurance company to learn what you get for the cost of your homeowners insurance policy and to be sure you don’t need additional coverage.

• HO-1: Basic coverage for homes only from named perils, including fire, lightning, wind, hail, volcanic eruption, explosions, riots, vehicles, smoke, vandalism, and theft.

• HO-2 (Broad Form): HO-1 coverage plus coverage for personal belongings and named perils like snow, ice, sleet, and frozen or overflowing pipes, heating, AC, and sprinklers.

• HO-3: Standard “open perils” policies that cover a home’s structure from any type of damage except exclusions, plus named-peril coverage for personal belongings.

• HO-4 (Renter’s Insurance): Cover personal property only from a range of named perils similar to those covered by an HO-2.

• HO-5: The most comprehensive coverage, offering protection from open perils for both your home and personal belongings with higher coverage limits than an HO-3.

• HO-6 (Condo Owners Insurance): Covers named perils that damage anything inside a condominium unit.

• HO-7: Offers the same coverage as an HO-3, but for mobile homes.

• HO-8: Broad form coverage for homes with historical or architectural significance that would be expensive or difficult to repair or replace.