Auto Insurance And Hurricanes: What You Need To Know

Hurricanes are some of the most destructive natural disasters, and they can cause significant damage to vehicles. This includes damage from high winds, flooding, and flying objects. If you live in an area prone to hurricanes, it's important to understand how your car insurance works in the event of a hurricane.

Comprehensive coverage is an optional type of car insurance that covers damage to your vehicle from sources other than a collision, including weather damage. This includes damage caused by hurricanes, such as flooding, strong winds, and falling objects. Comprehensive coverage can provide financial protection and help pay for repairs or replacement of your vehicle after a hurricane. However, it's important to note that comprehensive coverage is not always included in state minimum policies, and it needs to be in place before a hurricane warning is issued.

Comprehensive coverage

• Corrosion from saltwater exposure
• Strong winds flipping the vehicle
• Fallen objects, such as trees and branches
• Flooding from heavy rain
• Hydroplaning into someone else's property

If your car is damaged during a hurricane, you can file a claim with your insurance company. They may ask for:

• Your license plate number
• Photos of your car before and after the damage
• Your insurance policy number

Collision coverage

If you are driving during a hurricane and experience an accident, collision coverage will cover the cost of repairing or replacing your vehicle. This coverage is especially important if you live in an area prone to hurricanes, such as the Atlantic and Gulf Coast states, including Florida, Texas, Louisiana, and the Carolinas.

It is important to note that collision coverage has deductibles, and you will need to pay the deductible amount before your insurance company pays its portion of the claim. Additionally, insurance companies may implement a moratorium on policy changes during an active hurricane warning, so it is advisable to have collision coverage in place before a storm strikes.

The cost of collision coverage varies depending on factors such as the value of your vehicle and your location. On average, collision coverage costs around $723 per year, but rates can be higher in hurricane-prone states.

Preparing your car for a hurricane

Park in a Safe Area

If you have access to a garage, park your car inside and ensure it is facing outwards for a quick and easy exit in case of an emergency. Backing your vehicle into the garage makes it easier to drive out if you need to evacuate. If you don't have a garage, look for a parking spot away from trees, power lines, light poles, or any potential falling objects that could damage your car. Choose a location that offers at least partial protection from high winds or opt for the highest ground possible, away from trees and utility poles.

Complete Car Maintenance

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

Fill Up Your Gas Tank

Make sure your gas tank is full before a hurricane hits. Power outages are likely during and after a storm, making it difficult to access gas stations. A full tank will give you the flexibility to drive to a shelter or travel to obtain essential services.

Assemble an Emergency Kit

Pack your car with essential items that will come in handy during an emergency. Include a flashlight with batteries, a battery-operated radio, water, food, extra clothing, a first aid kit, and any specific medications. Don't forget to add a cell phone charger and a power bank to ensure your devices stay charged.

Protect Important Documents

Gather all the essential documents related to your vehicle and insurance and store them in a waterproof container or bag. Keep them in your car, along with a copy of your car insurance paperwork. Having easy access to these documents will streamline the process if you need to file a claim or provide proof of ownership.

Take Photos of Your Vehicle

Before the storm hits, take photos of your vehicle, both inside and out. This will help you document its condition and make it easier to file any damage claims with your insurance company. Compare the photos before and after the hurricane to identify any damage caused by the storm.

Close Windows and Sunroof

This might seem obvious, but it's important to check that all windows and the sunroof of your car are securely closed. This will help prevent water damage to the interior and reduce the risk of debris entering the vehicle.

Remove Items from Your Garage

If you park your car in a garage, ensure that you remove any items from shelves that could fall on top of your car in case of flooding or strong winds. Anchor or secure any objects that could move around and cause damage during the storm.

Brace Your Garage Door

The garage door is often the weakest link in a home. If possible, brace your garage door to reinforce it against strong winds. Alternatively, consider parking your car outside, positioned tightly against the garage door to block high-speed winds and preserve the door's integrity.

Evacuate with Caution

If you decide to drive away from the storm, do so before the harsh winds arrive, and drive with caution. Avoid speeding, especially in rainy conditions, as it increases the risk of hydroplaning. Stick to major roads and avoid taking unfamiliar shortcuts, as they may be more prone to flooding or obstructions.

Filing a claim for hurricane damage

Step 1: Understand Your Coverage

First, it's important to understand if your car insurance policy covers hurricane damage. Typically, comprehensive coverage is required to insure your car against hurricane damage. Comprehensive coverage is optional and not included in state minimum policies. It covers damage to your car from non-collision events, including weather damage. Check your policy documents to confirm if you have comprehensive coverage.

Step 2: Contact Your Insurance Company

If your car has been damaged by a hurricane, contact your insurance company as soon as possible to initiate the claims process. There is usually a claims number provided on your policy or available online. Don't delay, as insurance companies may consider it negligent if you wait too long and allow further damage to occur.

Step 3: Document the Damage

Take photos, videos, and detailed notes of all the damage to your vehicle. If possible, also collect serial numbers and receipts of damaged items. This documentation will be crucial when making your claim and justifying the extent of the damage.

Step 4: Work with the Insurance Adjuster

Your insurance company will likely send an adjuster to assess the damage to your vehicle. Provide the adjuster with all the documentation you have gathered, including photos, videos, and repair estimates. The adjuster will guide you through the claims process and any necessary paperwork.

Step 5: Understand Your Deductible and Payout

Comprehensive coverage comes with a deductible that you would have chosen when purchasing the policy. This is the amount you will need to pay before the insurance company covers the remaining costs of the damage. For example, if your deductible is $500 and the damage to your car is $750, you pay the $500, and the insurance company pays the remaining $250.

Additionally, understand that your insurance payout may be based on the replacement cost value of your vehicle, which factors in depreciation. So, if your vehicle has depreciated in value since you purchased it, you will receive the current value minus your deductible, not the amount you initially paid.

Step 6: Make Temporary Repairs if Necessary

In some cases, you may need to make minor temporary repairs to prevent further damage to your vehicle. For example, if your windows are shattered, you may need to board them up to protect the interior from theft or further weather damage. Keep all receipts for these temporary repairs, as your insurance company should reimburse you for these costs.

Step 7: Be Prepared for Delays

Keep in mind that the claims process after a hurricane can take time, especially if there are many claims being filed. There may be delays, and it could take weeks or even months to resolve your claim completely.

By following these steps, you can effectively file a claim for hurricane damage to your vehicle and receive the appropriate compensation from your insurance company.

Hurricane moratorium

A hurricane moratorium is a binding suspension that insurance companies can place on areas or entire states that are likely to be affected by a hurricane. This moratorium prevents individuals from purchasing insurance coverage shortly before a hurricane. It is important to note that this is a temporary measure and does not affect those who already have comprehensive coverage in place.

The moratorium typically starts 24 to 48 hours before the storm's arrival, based on forecasts from the National Hurricane Center (NHC), and is lifted after the hurricane has passed through the area. Insurance companies may restrict new policies and updates during storms to mitigate their financial risk.

If you live in a state prone to hurricanes, insurance experts advise that you have comprehensive coverage in place well before hurricane season, which typically runs from June to November. This will ensure that you have the necessary coverage before a moratorium is enacted.

Comprehensive coverage is an optional coverage that is not included in state minimum policies. It covers damage to your vehicle from sources other than collisions, including hurricane damage. While it is not required by law, comprehensive coverage can provide valuable protection for your vehicle during hurricanes and other natural disasters.

Frequently asked questions