Auto Insurance: Hurricane Damage Covered?

Hurricanes are some of the most destructive natural disasters faced by the United States. They can cause significant damage to vehicles, including from high winds, flooding from heavy rain, and flying objects. So, does auto insurance cover hurricane damage?

Yes, auto insurance can cover hurricane damage, but only if you have comprehensive coverage on your vehicle. Comprehensive coverage is an optional add-on to your auto insurance policy and is not required by law. It covers damage to your car from circumstances other than a vehicular accident, including weather damage such as hail or lightning. If you have comprehensive coverage, your insurance will cover damage to your vehicle from hurricane-related perils like flash floods, falling branches, or high winds.

It's important to note that you must purchase comprehensive coverage before a hurricane warning is issued in your area. Insurance companies typically place restrictions on new policies and updates during active storms.

Comprehensive coverage

The cost of comprehensive coverage is tied to the value of your vehicle and can vary depending on your location and other factors. The average annual cost for comprehensive coverage is $263, but it can be much higher in states that are more prone to hurricanes. For example, in Florida, the average comprehensive premium is $330, while in Louisiana, it's $415.

It's important to note that comprehensive coverage has a deductible, which is the amount you'll have to pay out of pocket if you file a claim. The deductible will be deducted from the payout you receive from your insurance company.

If you want comprehensive coverage to protect your vehicle during hurricane season, it's important to purchase it before a storm warning is issued. Insurance companies typically place restrictions on policy changes and new policies during active storm warnings. So, if you wait until a hurricane is on the horizon, you may not be able to add comprehensive coverage to your policy.

Collision coverage

If you are driving during a hurricane and your vehicle is damaged due to strong winds and water, collision coverage will cover the costs of those damages. For example, if your car collides with another vehicle, object, or person due to the storm, collision insurance will take care of the repairs. It is often paired with comprehensive coverage, which covers non-collision-related damages, and together they are typically referred to as "full coverage" auto insurance.

It is important to note that insurance companies may place restrictions on purchasing new policies or making changes to existing ones when a hurricane is imminent. Therefore, it is recommended to have collision coverage added to your policy well before hurricane season begins.

The cost of collision coverage varies depending on the value of your vehicle and other factors. When purchasing collision coverage, you will also need to choose a deductible, which is the amount you will pay out of pocket before the insurance company covers the remaining costs of the damage.

Preparing your car for a hurricane

Park your car in a safe area:

If possible, park your vehicle in an above-ground garage or a covered area to minimise wind and flood exposure. Face your car outwards for a quick exit. If you don't have access to a garage, look for a spot close to a building that can offer partial protection from high winds, or park on the highest ground away from trees, power lines, and utility poles. Remember to avoid parking under trees or near power lines that could fall and cause damage.

Fill up your gas tank:

Ensure your gas tank is full before the hurricane arrives. Power outages are likely during and after the storm, making it challenging to access fuel. A full tank will be crucial if you need to evacuate or travel to obtain essential services.

Assemble an emergency kit:

Prepare a kit with essential supplies, including flashlights, batteries, a radio, emergency food and water, warm blankets, extra clothing, a cell phone charger, and physical maps. Keep this kit in a waterproof container or bag in your car, as you may need these items if you get stranded on the road or during an evacuation.

Take photos of your car:

Document the condition of your vehicle before the hurricane by taking pictures from multiple angles. These photos will be useful when filing insurance claims and comparing any damage incurred during the storm.

Store your car documents:

Keep your car's registration, insurance documentation, and keys in a safe and accessible place. It is recommended to put them in a waterproof container or plastic bag to protect them from potential water damage.

Prepare your garage:

If you plan to park your car in the garage, remove any items from shelves that could fall on your vehicle. Anchor or secure anything that could move around if the garage is flooded. Additionally, brace your garage door if possible, as it may be the weakest link in your home.

Check your car's maintenance:

Ensure your car is in good condition by checking the fluid levels, including oil, transmission, brake, power steering, coolant, and windshield wiper fluids. Inspect the vehicle's belts, tires, and battery. If you're not comfortable performing these tasks, consider taking your car to a mechanic for a check-up before the hurricane.

Stay informed:

Keep yourself updated on the storm's progress and follow the recommendations of local authorities. Watch the local news or use a battery-powered radio to stay informed about the hurricane's expected arrival time, severity, and any emergency evacuation routes.

Remember, preparing your car for a hurricane can significantly reduce potential damage and help ensure your safety during and after the storm.

Filing a claim on hurricane damage

If your car has been damaged in a hurricane, you can file a claim with your insurance company to cover the costs of repairs. Here are the steps to follow:

Contact your insurance provider:

Reach out to your insurance provider by phone or online as soon as possible. Be prepared to share the following information:

• Your license plate number
• A photo of your car before the hurricane damage
• Photos of your car after the hurricane damage

Work with the claims adjuster:

Once you've started the claims process, a claims adjuster will be assigned to you. They will guide you through the steps of filing a claim and may ask for additional documents. The adjuster may also inspect your car in person or solicit an estimate from a repair shop to evaluate the cost of the damage.

Understand your coverage:

Before filing a claim, it's important to review your insurance policy to understand what is covered. Comprehensive coverage will typically cover hurricane-related damage, such as flooding, fallen objects, and strong winds. Collision coverage will cover damage to your vehicle if you get into an accident during the hurricane.

Know your deductible:

Both comprehensive and collision insurance policies have deductibles, which is the amount you must pay out of pocket before your insurance coverage kicks in. For example, if you have a $500 deductible and your hurricane damage repairs cost $3,000, you will need to pay the first $500 yourself, and your insurance will cover the remaining $2,500.

Be prepared for possible rate increases:

It's important to note that filing a claim after a hurricane may result in an increase in your insurance premium. This is because insurance companies may raise rates due to the high number of claims and financial losses they experience after a major storm.

Hurricane moratorium

A hurricane moratorium is a period during which new insurance policies cannot be purchased, and existing policies cannot be updated or renewed. This period is typically enacted by insurance companies 24 to 48 hours before a hurricane is expected to make landfall and can remain in effect for up to 78 hours after the hurricane has passed. The moratorium is put in place to prevent individuals from purchasing insurance coverage just before a hurricane hits.

If you live in an area prone to hurricanes, insurance experts advise that you have coverage in place well before hurricane season begins. This will ensure that you have the necessary coverage before a moratorium is put in place.

In addition to the moratorium, it's important to note that comprehensive coverage is required for hurricane damage to be covered by your auto insurance. Comprehensive coverage is not mandatory, but it insures your car against damages sustained outside of a vehicular accident, such as those caused by a hurricane.

Frequently asked questions