Prepare for Hurricane Season

What to review before storm season:

Hurricane/Catastrophe Deductibles: Some home insurance policies contain a separate deductible for claims that rise from Major Disasters, including hurricanes. These deductibles usually exist as a percentage of the total value of Coverage A, or Dwelling Coverage. For example, if your Dwelling is insured to $500,000.00, and your Hurricane Deductible is 3% of Coverage A, Your deductible will be $15,000.00 It’s important to review your policy with your agent to know what to expect in the event of a claim.

Flood Coverage: Most Home Insurance Policies in the State of North Carolina do not cover flood. Flood Insurance is purchased separate from a standard home Insurance policy. It is of the utmost importance that you research your area’s flood risk level and determine whether or not purchasing flood Insurance is a prudent step for you.

The Difference between Replacement Cost and Actual Cash Value: It’s pretty simple, a home insured at replacement cost will not factor in depreciation in the event of a loss, while a home insured on an actual cash value basis will factor in depreciation. This could substantially affect compensation in the event of a loss. If you are unsure if your home has been insured to replacement cost, contact your agent and review your policy. These are just a few reasons why an annual consultation and review of your current insurance coverage is so important.

Give ACF Insurance a call today to speak with a Licensed Property Agent at (919) 661 – 1100