Prepare for Disasters

Your life can change in the blink of an eye.

The nonprofit Federal Alliance for Safe Homes (FLASH) invites experts to submit presentations for consideration by the National Disaster Resilience Conference (NDRC24) committee. Set to take place from November 20 to 22, 2024, in Clearwater Beach, Florida, the conference seeks to explore innovative approaches and programs that drive advancements in resilience policy, practice, science, and engineering.

Preparing for potential disasters is crucial no matter where you call home. Families can enhance their safety and home resilience by using these free and low-cost ways to strengthen their homes against a variety of perils. From earthquakes and extreme heat to floods, hail, hurricanes, tornados, and wildfires, these top mitigation strategies are accessible on the nonprofit Federal Alliance for Safe Homes (FLASH) website FLASH.org.

The nonprofit Federal Alliance for Safe Homes (FLASH) revealed the names of the five finalists for the 2024 National Weatherperson of the Year award. This annual accolade acknowledges exceptional weather professionals who exhibit exemplary leadership in advocating for disaster safety and resilience.

Now in its 25th year, the event will bring together private and public sector leaders, nationally- recognized engineers, meteorologists, practitioners, risk communicators, scientists, and trade professionals to share best practices and create innovative solutions.

Why does it matter?

According to the National Oceanic and Atmospheric Administration (NOAA), hail causes approximately $1 billion in damages to crops and property in the United States each year.
Hail can range in size from small pellets to softball-sized and can fall at speeds of up to 100 miles per hour. When hail strikes roofs, it can damage shingles, tiles, or metal panels, leading to leaks and water damage. Additionally, hail can break windows, dent cars, and damage outdoor equipment and furniture.

What do I need to know?

An impact-resistant roof is a roofing system designed to withstand severe weather, such as strong winds, hailstorms, and flying debris. These roofs are typically made from durable materials, such as metal, concrete, or specially designed asphalt shingles, that are designed to absorb the impact of high-speed objects without sustaining significant damage.

Impact-resistant roofs are rated based on their ability to resist damage from hail and wind. The ratings are determined by industry-standard tests that involve dropping steel balls of various sizes and weights onto the roofing materials to simulate the impact of hail. Roofs that pass these tests receive a Class 1, 2, 3, or 4 rating, with Class 4 being the most impact-resistant.

Impact-resistant roof coverings require additional costs, but the investment is worthwhile for the added damage protection for homeowners. When you use these types of materials, you may also lower insurance premiums in areas prone to severe weather, such as Texas.

Where do I start?

Choose impact-resistant roof coverings when reroofing or building a new home.

More Resources:

Insurance Institute for Business and Home Safety – Hail Shingle Performance Ratings

If your home is damaged by a covered peril, you will need to notify your insurance company as soon as possible. All companies have toll-free telephone numbers for claims reporting, and most have company websites and app with online claims reporting options.

An insurance policy is a contract between you and your insurance company, so there are rules and procedures that you and your insurer must follow. The best way to understand your role is to read your insurance policy.

  • If you are the victim of a theft or your home has been vandalized or burglarized, report it to the police. Get the case number and share it with your company insurance adjuster.
  • Insurance policies place a time limit on filing claims, so always report promptly. Ask these questions: Am I covered? Does my claim exceed my deductible? How long will it take to process my claim? Will I need to obtain estimates for repairs to structural damage?
  • Take reasonable steps to protect your property from further damage. Save receipts for what you spend, and submit them to your insurance company for reimbursement.
  • You are going to need to substantiate your loss. Preserve damaged items until your adjuster has visited your home as reasonable and safe. Photograph or videotape the damage, and prepare a home inventory for your adjuster, along with copies of receipts from damaged items.
  • If your home is severely damaged and you need to find other accommodations while repairs are being made, keep records of all additional expenses incurred. Most homeowners insurance policies provide coverage for the “loss of use” of their home. Be aware that many policies do NOT provide coverage for the additional living expense if a mandatory evacuation is ordered and there is no loss to your home.
  • Once you have notified your insurance company about your claim, the company is required to send the necessary claim forms to you by the end of a specified time period. (The time period varies from state to state.) Return the properly filled-out forms as soon as possible in order to avoid delays.
  • Your insurance company will arrange for an adjuster to work with you to handle your claim either online, through the telephone, or by visiting your home, depending on the size of your loss. Once you and your insurance company agree on the terms of your settlement, state laws require that you are sent payment promptly. In most cases, your claim will be processed quickly.

More Resources

Are you in the dark about what your insurance policy will provide after a disaster? For example, you may have coverage for food that spoils when the power fails, even if your home isn’t damaged. And that food spoilage coverage may be deductible-free.

Did you know that a special, separate policy is required to cover some perils? For example, flood policies have a 30-day waiting period, and coverage limits may or may not provide enough to repair and rebuild your home after flood damage.

These are the kinds of questions you can answer during an annual insurance checkup to keep your policy current and keep you in the know before disaster strikes.

Contact your home insurance company or agent and request a policy review. Ask these questions to make sure you have the right financial resources to rebuild, recover, and bounce back from any disaster.

Coverages – Know the Basics

  1. What type of insurance policy do I have? Is it the right kind for me?
  2. Is my home insured for actual cash value or replacement cost?
  3. If my home is uninhabitable, will my policy provide temporary living expenses? What is the time limit?
  4. What liability coverage limits should I choose?
  5. Are my personal belongings covered? How is the limit established?
  6. Do I need individual policies for high-value personal items? What are some examples?
  7. How do I cover flood losses if they’re not part of my homeowner’s policy?

Deductibles and Claims

  1. What is my deductible? What are my options?
  2. How is a hurricane deductible different? How much savings should I have in reserve to meet my deductible?
  3. What are my responsibilities to prevent further destruction if damage occurs?
  4. What can I do to make processing my claim efficient?
  5. What is the best way to document damage?

Discounts and Incentives

  1. Does my community’s building code affect my rates?
  2. Are discounts available for crime and fire prevention, lightning protection, safety, water loss detection, or wind mitigation?
  3. How can I save on flood insurance?
  4. How can I qualify for policy discounts each year?

More Resources

Having the right amount and type of insurance for your car, home, boat, and other high-value possessions will ensure that you will have the money you need to recover after disaster strikes.

Start with A Homeowners Guide to Natural Disasters for an introduction to basic mitigation and policy benefits, limitations, and opportunities to save with credits and discounts.

Then schedule a checkup with your insurance company or agent to ask critical questions like:

  • How do I get insurance for the perils my home faces?
  • What is my deductible?
  • How do I file a claim?

What Type of Insurance Policy Is Right for You?

Different types of insurance policies are available to cover various weather or geophysical perils, such as earthquakes. The most appropriate insurance product for your needs depends primarily on your type of dwelling.

Homeowners: If you own a home, there are two available policy forms: homeowners and dwelling forms. The main difference between these two types of forms is that a homeowners form combines property coverage with liability coverage, while the dwelling form only covers property losses. Additionally, a dwelling form is more commonly used for a dwelling that an insured person owns but does not live in or only lives in for part of the year. Both types of policy forms have various peril coverage options available for the dwelling and its contents.

Manufactured homeowners: There are policy forms specifically designed to insure manufactured homes. This type of policy covers both the dwelling and its contents and provides liability protection.

Condo owners: There are policy forms specifically designed to cover condominiums. This type of policy typically covers contents, such as your personal property and liability. A small amount of dwelling coverage is provided to cover the portions of the condominium that you are responsible for, as defined by the governing rules of the condominium association; this may include condominium common areas. You can purchase additional dwelling coverage if the protection included in the package is insufficient.

Renters: There are renter’s insurance policy forms specifically designed for you if you are renting and do not own your residence. These forms provide coverage for your contents and liability.

Farm homeowners: Farm owner’s policy forms are specifically designed to cover farms or ranches which may not qualify for standard homeowners insurance. This policy may be the most appropriate form to cover property losses to your home and other structures, such as barns and silos, from the damage of tornadoes, hail, and other perils. Farm owner’s policies also cover personal and commercial exposure of farms, along with liability coverage.

Two exceptions worth noting
Earthquake and flood policies typically need to be purchased separately or as additional endorsements to your standard policy, regardless of your dwelling type. The limits of these policies can match the homeowner’s or renter’s policy, or they can be set as separate limits.

Buying Insurance in the Voluntary Market

Generally, insurance may be purchased from property casualty insurance companies through the voluntary market, meaning that the insurance companies voluntarily provide coverage to customers who meet the underwriting requirements. Availability and types of coverage may vary across states and companies, so consumers should research property coverage for specific perils in their area.

There are four main distribution systems employed by property casualty insurance companies in the U.S.:

  • Independent Agency System: Independent contractors who typically represent multiple insurance companies.
  • Exclusive Agency System: Independent contractors who may only represent a single insurance company.
  • Direct Writer System: Sales agents who are employees of the insurance companies.
  • Direct Response System: No agents are used, and insurance is sold through direct mail, telephone, or the Internet.

Buying Insurance in the Shared Market

Involuntary market mechanisms (sometimes referred to as shared markets) provide coverage for entities that do not qualify for coverage in the voluntary market. There are many reasons why coverage may not be available through the voluntary market in a particular place. For example, living in a high-risk area, such as a designated wildfire zone, near a coastline, or in an area affected by a recent catastrophic event may lead to reduced availability of coverage.

The following kinds of property insurance market mechanisms exist in certain areas:

  • Fair Access to Insurance Requirements (FAIR Plans): Insurance pools that sell property insurance to people who cannot buy it in the voluntary market because of high risk over which they may have no control. Plans vary by state, but all require property insurers licensed in a state to participate in the pool and share in the profits and losses.
  • Joint Underwriting Associations (JUA): Insurers that join together to provide coverage for a particular type of risk or size of exposure when there are difficulties in obtaining coverage in the regular market, they may share in the profits and losses associated with the program.
  • Beach and Windstorm Plans: These plans exist in coastal states, in hurricane zones of the Gulf, and along the South Atlantic coast. Windstorm plans provide coverage that is often excluded from voluntary insurer policies. Each coastal state from Texas to North Carolina has a beach and windstorm pool to provide windstorm coverage in coastal areas. The way these plans are funded varies from state to state.
  • California Earthquake Authority: Although there is no truly involuntary market mechanism for earthquake coverage, the California Legislature established the California Earthquake Authority (CEA) as a privately financed, publicly managed risk bearer to help California residents obtain earthquake insurance. The CEA is California’s largest residential earthquake insurer.

Market conditions in some states have made it difficult for voluntary insurers to provide affordable coverage. Under those circumstances, coverage may be available through a FAIR plan. If you find that you are unable to obtain insurance through the voluntary market, your insurance agent may help you find coverage through the involuntary market, or you may be able to contact the plans directly. Because these entities vary greatly by locality, your state insurance department is likely the best source of information on how to obtain coverage through the involuntary market in your state.

More Resources

Homeowners insurance protects your home and everything in it from accidental and unexpected incidents. If something catastrophic occurs, you will need to provide a list of everything that was in the house, and in some cases, even photographic evidence of valuable possessions.

Here’s how to create a home inventory that will make future insurance claims run smoothly:

1. Plan ahead

  • Creating a home inventory may feel overwhelming, so break it into manageable chunks by capturing one location at a time.
  • Think about each room and section of your home. Don’t forget your attic, basement, closets, garage, and any detached structures, such as tool sheds.
  • Consider asking a family member to help document the items.

2. Pick a method to fit your needs

Visual Inventory

  • A quick, simple way to create your inventory is by using your phone to take photos and videos of belongings, as well as entire rooms, closets, and drawer contents.
  • As you record each space, narrate the description of items (“Brand X television purchased in 2009″). Take a photo of the serial number and label. If you have the receipt, take a photo of it too so that the records are stored together.
  • Regardless of how you capture your inventory, remember to back up the videos and photos on the cloud.

Written Inventory

  • If you prefer a written record, create a spreadsheet or list to catalog your belongings. Be sure to include columns for item descriptions, purchase dates, serial numbers, and any other relevant information.
  • Take photos of your possessions and include them in your spreadsheet. You can also store them on a flash drive.
  • Make copies of the spreadsheet and photo drive and store one copy in a fireproof safe or safety deposit box. Send additional copies to a trusted relative or friend to ensure you have access when a disaster strikes as you may not be able to get home right away.
  • Scan and store all records electronically and back up on the cloud whenever possible.

3. Track Receipts

For more expensive items, store receipts electronically in a folder backed up to the cloud, on a flash drive, or in a written physical record along with other essential documents in a sealed waterproof bag.

If you are keeping a physical record, keep a copy in your “go bag” in case you have to evacuate.

4. Register goods

Take advantage of all product warranties by registering your new appliances and products. That way you can get helpful information about the product for an insurance claim.

5. Conduct annual checkups

Keep the name, telephone number, email, and web address of your insurance agent and/or company in a safe place, including on your computer or on your phone.

Contact your home insurance company or agent and request a policy review. Use the insurance checkup checklist to make sure you have the right financial resources to rebuild, recover, and bounce back from any disaster.

Update your home inventory regularly and read your insurance policy carefully to understand what is and isn’t covered (deductibles, general and specific limits, flood coverage, etc.).

If you must evacuate the area, notify your insurance company and verify what your insurance policy will cover for temporary lodging.

More Resources

For more information about insurance, check out A Homeowner’s Insurance Guide to Natural Disasters for an introduction to mitigation and policy benefits, limitations, and ways to save with credits and discounts.

FLASH and The Actuarial Foundation. If Disaster Strikes, Will You Be Covered? A Homeowner’s Insurance Guide to Natural Disasters.

While adequate insurance coverage is essential to disaster recovery, premiums can present a significant expense for homeowners. Premiums may increase over time with inflation, increased costs of construction, or other factors; however, it is possible to reduce potential costs.

In addition to the premium, you’ll need to account for the deductible — the amount of your claim that you pay before any payment is made by your insurance company. The larger your deductible is, the lower your premium will be. However, the larger the deductible, the more out-of-pocket payment you will be responsible for when a loss occurs.

Dollar deductibles: A dollar deductible is the dollar value the insured must pay before the insurance company will pay the remainder of the claim. For example, with a $500 standard deductible, the policyholder must pay the first $500 out of pocket. Some insurers offer policies with higher dollar deductibles for hurricane and earthquake damage. The higher the deductible for a given policy, the lower the premium. This is because the insured is bearing more of the risk.

Percentage deductibles: Percentage deductibles are calculated based on the home’s insured value. For example, if a house is insured for $100,000 and has a 2% deductible, the first $2,000 (or 2% of the insurance value of $100,000) of a claim must be paid by the policyholder. In many states, policyholders have the option of paying a higher premium if they prefer a traditional dollar deductible instead of a percentage deductible or if they prefer to have a lower percentage deductible. Percentage deductibles are sometimes mandatory. It is important to remember that the dollar value of a percentage deductible will change as the insured value changes.

Here are some options for saving money on your homeowners insurance.

Adjust the Deductible

A policy may have different types and amounts of deductibles based on the peril. Many insurers offer homeowners insurance policies with percentage deductibles for windstorm damage instead of the traditional dollar value deductibles used for other types of claims, such as fire and theft.

One of the more common percentage deductibles is the hurricane percentage deductible that applies to damage solely from hurricanes. For example, a policyholder may have a $1,000 deductible for fire losses, but a 2% deductible for hurricane losses, making the hurricane percentage deductible a significant part of the policy. An earthquake policy with an additional third deductible could differ from all other deductibles for the insured property, as well.

Qualify for Premium Discounts

Premium discounts vary widely by state and company. Secure price quotes from more than one source before choosing a policy, and use the list below to request potential discounts. This list is not exhaustive, so you may qualify for additional discounts.

  • Discounts may be offered when purchasing home and auto insurance from the same insurer.
  • Discounts are typically available for homes with burglar alarms, dead-bolt locks, fire sprinklers, and smoke alarms.
  • Discounts are sometimes available for homes with water detection systems or other telematic devices that transmit home statuses.
  • Discounts may be available for policyholders who are at least 55 years old and retired. Discounts are often available for certain professionals, alumni, and business groups.
  • Long-time customers may be offered insurance discounts.
  • Homes constructed in communities using current, model building codes will typically receive automatic credits on insurance premiums. The community’s Building Code Effectiveness Schedule (BCEGS) rating will indicate the favorability of the code. Lower BCEGS ratings of 1 to 4 are ideal.
  • Homes built or retrofitted with disaster-resistant features for earthquakes, floods, hail, hurricanes, wildfires, or windstorms may be eligible for credits or discounts. Examples of qualifying features include braced cripple walls in seismic zones, elevated foundations for flood protection, hurricane shutters, impact-resistant roof coverings, sealed roof decks, superior roof connections, impact- and wind-resistant garage and entry doors, and more.

More Resources

How do you make sure that you can insure your home against disasters like hurricanes and floods? The location of a property can be a primary factor of insurance availability. Homes located in areas with greater exposure to losses due to a particular peril pay a higher cost for coverage than areas less exposed to that peril.

Insurance premiums for homes in the Midwest may reflect a higher cost due to tornado coverage. It may be difficult to find available or affordable coverage in the voluntary market for homes with greater exposure to wildfires, such as those in designated brush zones in California. It is essential to evaluate the insurability of a property before purchasing a new home.

Another factor that affects the availability of insurance is a pending event. For example, if a hurricane or a wildfire is approaching, insurance companies will often issue a temporary prohibition on issuing coverage, and no new coverage can be written in the area threatened by the peril until the threat passes.

Consider possible perils and how they might affect the availability of insurance when you’re shopping for a home or adding coverage to your current property.

Exposure to Earthquakes

Homeowners who live on or near major faults are vulnerable to earthquakes, and the soil type in certain areas may be more susceptible to earthquake damage. As a result, the closer a home is to a fault line, or if it sits on certain susceptible soil types, the more limited insurance options may be because of the risk of earthquake loss.

Recent earthquake activity can also determine earthquake insurance availability. As more earthquakes occur, insurance companies are likely to experience significant claims from earthquakes and may become financially distressed. These companies may find it difficult to provide coverage to the same volume of policyholders which can cause an overall availability problem. In certain areas, state associations are established to ensure insurance availability in constricted markets. These publicly run entities provide insurance coverage when availability and affordability problems arise.

Exposure to Hurricanes

Homes in coastal areas of the U.S. are more exposed to hurricanes than homes further inland. As a result, homeowners in these areas may have fewer choices for hurricane insurance. Frequent storm activity can constrict hurricane insurance availability and markets. As with earthquakes, publicly run entities typically fill gaps in the market and may provide insurance coverage when availability and affordability problems occur.

Home Features

Homeowners can encounter insurance availability problems due to the location of their home as described above. However, if a home has unusually hazardous features, insurance companies may be unwilling to provide coverage regardless of location.

Some of the features considered hazardous include inferior construction, a low-performing roof shape or roof covering, an unbolted frame, an unsecured chimney and/or water heater, or structurally weak features such as awnings or other exterior ornamentation. Additionally, older homes that do not meet current building codes and poorly maintained homes may be difficult to insure.

Ensuring the “Insurability” of Your Home

Homeowners can ensure the insurability of their home by keeping the property current to local and modern model building codes, by performing regular home maintenance, and by implementing loss mitigation measures. Homeowners may also evaluate their insurance options by staying informed of changes in the local insurance marketplace.

More Resources

Guaranteeing you’re adequately insured and protected before a disaster is critical. You can start by checking your coverage options, property definitions, and the extent of coverage available. Options will vary by state, company, and product.

Here’s everything you need to know about your choices of home insurance for disasters.

The Four Coverage Categories

Insurance companies define four coverage categories for your home:

  1. Dwelling: The structure of your home is considered a covered property. It is referred to in the policy as the “dwelling.”
  2. Other structures: Structures separate from your home or linked by a fence, wire, or other forms of connection are referred to in the policy as “other structures.” Examples include tool sheds or detached garages.
  3. Personal property: Your belongings and the contents of your home are referred to in the policy as “personal property.” It includes, but is not limited to, appliances, clothing, electronics, and furniture. Not all personal property is covered. Some items may have coverage limits or are covered under different forms of insurance. Examples include, but are not limited to, money, jewelry, and firearms.
  4. Loss of use: When a dwelling becomes uninhabitable due to a covered disaster, the cost of additional living expenses are covered and defined as “loss of use.” Loss of use coverage reimburses living expenses, up to a stated limit, that the insured incurs to maintain a normal standard of living after a covered loss.

“Open Perils” and “Named Perils” Coverage

A peril, as referred to in an insurance policy, is a cause of damage that results in an insured loss of property, such as fire or theft. Coverage can be provided on an “all perils” (open perils) basis or a “named perils” basis. Named perils policies list what is covered by the policy and are generally more restrictive. All perils policies list what is excluded from coverage. A dwelling policy usually provides coverage for both the dwelling and its contents on a named perils basis. A homeowners policy usually provides coverage for the dwelling on an all perils basis and coverage for the contents on a named perils basis.

Package vs. Peril-Specific Coverage

A package policy provides coverage for multiple, but usually not all, perils. A homeowners policy is a package policy that provides coverage for fire, lightning, extended coverages, and personal liability. Extended coverage includes coverage for windstorm, hail, explosion, riot, civil commotion, aircraft, vehicles, smoke, vandalism, malicious mischief, theft, and breakage of glass. Some policies, such as earthquake or flood policies, provide coverage for specific perils that are often excluded in package policies. Fire and water damage from an earthquake may be covered by a standard homeowners policy.

It is important to consider what additional perils you may face and verify what is covered by your specific policy. Consult with your insurance company about perils you may face and what perils are covered by your policy.

Does My Policy Cover That?

  1. Earthquakes: Most property insurance policies exclude coverage for losses resulting from earthquakes (although they often cover losses related to fires following earthquakes), so separate policies are typically required for earthquake coverage. Some states with risk of loss from earthquakes have government-mandated insurance plans that provide earthquake coverage to property owners who are unable to obtain insurance through the voluntary market.
  2. Flood: Most property insurance policies exclude coverage for flood losses. You must purchase a flood policy to be covered for losses caused by a flood. (For a more comprehensive discussion of flood insurance, see Preparing for a Flood.)
  3. Hail: Most property insurance policies provide coverage for losses resulting from hail. Hail is a named peril. For coverage to apply under a “named perils” policy, hail must be listed as a covered peril. However, hail is generally included under the broader peril of windstorm. Windstorm coverage includes hail, hurricanes, tornadoes, and straight-line winds. There may be instances where coverages and deductibles apply to only one of these perils, for example, hurricanes, and not to all windstorms.
  4. Hurricanes: Most property insurance policies provide coverage for losses resulting from hurricanes under the windstorm coverage, although flood loss associated with hurricanes is excluded. (See Preparing for a Flood for more information.) Most states with risk of loss from hurricanes have government-mandated insurance plans that provide windstorm coverage to property owners who are unable to obtain insurance through the voluntary market.
  5. Tornadoes: Most property insurance policies consider tornadoes a covered peril, although they do not cover losses resulting from the peril of flood. (See Preparing for a Flood for more information.) While tornadoes may not be specifically mentioned as a covered peril, tornado losses are one event covered under the windstorm peril.
  6. Wildfires: All property insurance policies provide coverage for losses resulting from fires. Depending on the level of exposure, you may need to consider a higher deductible to obtain coverage or keep it affordable. Most states have coverage available via a Fair Access to Insurance Requirements (FAIR) plan or a Joint Underwriting Association (JUA) if the voluntary market is not willing to provide coverage.

How Much Coverage Do I Need?

Depending on the type of policy, dwelling coverage options could include replacement cost coverage, actual cash value, special payment, functional replacement cost or market value coverage, or stated value.

The settlement of a loss will vary depending on the coverage you select when you purchase your policy.

  1. Replacement cost coverage: Replacement cost is he current cost to replace the damaged property, with no reduction for depreciation of the damaged property. It is not the market value or the tax-assessed value of the property.
  2. Actual cash value: Actual cash value is the cost to replace the damaged property reduced by an allowance for depreciation.
  3. Special payment: Special payment is distributed before a damaged dwelling is repaired, rebuilt, or replaced.
  4. Functional replacement cost or market value coverage: Functional replacement cost or market value (also known as repair cost) is the cost to repair or replace the damaged property with equivalent construction for similar use without deduction for depreciation (e.g., replacing a plaster wall with drywall). If it is a total loss and repairs are not made, the payment amount will be the market value of the home.
  5. Stated value: Stated value coverage is the value of the policy, which is the maximum amount paid at the time of loss, even if the loss amount is larger than the value of the policy. A selected value is established by the insured, and this value is the limit of liability.

Personal Property Coverage Choices

Depending on the type of policy, personal property coverage options could be replacement cost coverage or actual cash coverage, as explained above.

What Is the Insurance-to-Value Ratio?

Insurance-to-value ratio is the relationship of the amount of insurance purchased to the replacement value of the property. It is important to have an accurate assessment of the replacement cost value of your home. If you don’t and then experience a loss, the cost to replace your home may be more than your insurance policy will provide and you would be responsible for covering the difference. Major catastrophes, such as earthquakes, hurricanes, and wildfires, often can create a demand surge for materials and labor, resulting in increased costs to replace damaged property. Consider the effect of such surges when establishing the appropriate replacement cost for your property.

Most property policies have a coinsurance penalty, which requires that your property be insured to at least 80% of the replacement cost or loss payments will be reduced by a proportion of the insured value to 80% of replacement value.

It is also important to realize that other coverage limits within your policy are set as a percentage of the dwelling coverage amount. For example, the limit of coverage for your personal property will usually be at 50% of the dwelling limit. Additional coverage is available via endorsement and is typically increased if you purchase replacement cost coverage for your contents.

Replacement Cost Coverage

In order to qualify for replacement cost coverage, you will most likely be required to insure your property to at least 80% of the replacement cost. If this requirement is met and you have a total loss, your insurance policy will cover the total cost of replacing your home. If the property is not insured to at least the 80% value, then the payment for partial losses may be reduced. For a total loss to be paid, the property should be insured at 100% of the replacement cost.

Additional Limits in the Case of a Total Loss

Many insurance companies offer an endorsement that provides full coverage to replace your property in the event of a total loss. Usually, the company requires that the property be insured to at least 100% of the replacement cost in order to qualify for this additional coverage. As long as this requirement is met, if you have a total loss and it costs more to replace than your limit (due to a misestimate or demand surge), the coverage under your insurance policy will be increased accordingly. The amount of the increase depends on the endorsement purchased and can range from 25% to 100%.

Additional and Optional Coverage

Additional coverage may be included in your policy. One example is a building code upgrade, which provides 10% coverage for upgrades required by the community to meet building codes when a home is being repaired or rebuilt as a result of a covered loss. Optional coverage for perils, such as earthquake insurance, may be available to purchase to supplement your policy.

More Resources

FLASH and The Actuarial Foundation. If Disaster Strikes, Will You Be Covered? A Homeowner’s Insurance Guide to Natural Disasters.

Once you and your family are prepared, consider extended family members or friends who are especially vulnerable during disasters. Pay special attention to folks with financial limitations and seniors.

You can help your broader community before, during, and after disasters by volunteering. Find an organization in your community, and participate in a class, training, or discussion. Affiliate with the organization before disaster strikes.

Local nonprofits, faith-based organizations, schools, and civic groups are all great places to begin your search. There are many ways to help your community, including delivering food to older adults or organizing your own community project. Consider any special skills you may be able to offer.

Get training in CPR and basic first aid, as well as other hazard-specific training. A financial contribution or gift to a recognized nonprofit disaster relief organization is always an effective way to support disaster recovery, and even small amounts can make a big difference.

Here are some options to get you started to support community disaster resilience:

  • Join your local Community Emergency Response Team (CERT) program. CERT programs are typically sponsored, affiliated, or created in partnership with a local fire department, law enforcement agency, or emergency management agency. Get CERT trained in basic disaster response skills, such as fire safety, light search and rescue, team organization, and disaster medical operations.
  • Find a volunteer opportunity with your state’s Voluntary Organizations Active in Disaster (VOAD). National VOAD is an association of organizations that mitigate and lessen the impact of disasters.
  • Don’t forget the crucial role youth play in disaster preparedness. Get resources to integrate children and youth into family and community disaster preparedness.

Where will your family or household be when disaster strikes? If you are not together when an emergency happens, will everyone know how to stay in contact — even if cell towers are down and phones don’t work? Do you have a meeting place and will everyone have a way to get there?

To develop a family disaster plan, start by mapping out contact methods and meeting places. Then share and practice your plan with your family or household and out-of-town contact. While you develop your plan, keep in mind these specific household needs:

  • Ages of household members
  • Medical needs like prescriptions and equipment
  • Disabilities or access and functional needs
  • Dietary needs
  • Pets or service animals
  • Languages spoken

After you make your plan, all you need to do is revisit and communicate your plan regularly so you’re ready when disaster strikes.

Build your plan

  • Write it down.
    • Create a document with the contact information for your family, close friends, designated out-of-town contact, employers, and other service providers like doctors, schools, etc.
  • Plan to communicate.
    • Plan how to communicate with family or friends when disaster strikes.
    • Discuss the benefits of calling, texting, emailing, or using social media. Texting tends to work more reliably than calling, especially when systems are in high demand.
    • Determine how your family will receive emergency updates and alerts.
  • Choose a meeting place.
    • Pick two places to meet your family or household members.
    • Meet outside your home in case of a sudden emergency or at a friend’s or neighbor’s house in case you can’t return home.
    • Ensure that these places are reachable for those with access and functional needs and that your pets are welcome.
    • Share the address and phone number for each of your meet-up locations.
    • Add the information to your phone’s contacts and list them in your plan.
  • Plan to evacuate.
    • If an evacuation is necessary, determine where you will evacuate and how you will get there.
    • If you plan to shelter-in-place, identify the safest location in your home to shelter during a disaster.
  • Identify emergency contact(s).
    • Ask an out-of-town family member or friend to be your emergency contact.
    • Ensure everyone in your household knows the contact’s name, location, phone number, email, and any social media contact options.
  • Schedule a meeting.
    • Set a meeting with your household to talk about the types of disasters and hazards you might face.
    • Work together and share responsibilities as a team.

Know your plan

Send links to your disaster plan and make copies for all family or household members and emergency contacts. Post a copy in a prominent place in your home like a bulletin board.

Practice the plan

Regularly gather your family or household members to review and practice your plan. Discuss what information you would communicate during a disaster and send practice messages. Make sure all family members (including children) understand how and when to call 911.

Update your communication plan at least once a year or whenever information changes.

Special Considerations for Families with Children

A natural disaster is often devastating for adults, but children can be especially vulnerable to stress and anxiety when disaster strikes. Prepare your children before a disaster and plan activities to keep them busy during and after an emergency.

Getting kids involved in the planning process and letting them plan activities will distribute the workload and give your family a sense of control.

Preparing Your Children for Disasters

  • Learn what types of emergencies are possible where you live, teach your children about them, and discuss the steps you’ve taken to protect your family and home.
  • Discuss emergencies that may require evacuation, such as a hurricane, and shelter-in-place emergencies, such as a tornado.
  • Include your children when creating your family communication plans and building a disaster supply kit.
  • Have a disaster drill and practice your plan, making sure to give your children a role and way to participate.
  • Prepare fun, kid-friendly activities and games to keep them occupied. Choose games that they do not ordinarily play, so they have something special to enjoy.
  • Select activities that do not require power so you can conserve your batteries and back-up power sources.

More Resources

You can enhance your safety and comfort during and after an emergency or disaster by planning to be self-sufficient. By creating an emergency supply kit, you’ll be able to meet your basic needs for food, water, cash, medicines, and other supplies that will last for at least 72 hours.

Once you build and maintain your disaster supply kit, you have a way to meet your family’s basic needs during a difficult time. This also helps your community by allowing emergency officials and first responders to focus on those who cannot help themselves. Make sure to make your disaster preparedness plan and practice with your family.

Plan for two scenarios when building your disaster supply kit: remaining in your home or evacuating to a safer location.

Store items in airtight plastic bags, and use 1-2 portable containers for your whole kit.

Inventory on-hand supplies, and purchase any additional items. Building and maintaining your kit over time can help offset the cost.

Basic Disaster Supply Checklist

  • Cash: Banks and ATMs may not be open or available for extended periods
  • Water: At least one gallon per person per day for 3-7 days for drinking and sanitation
  • Food: Enough for 3-7 days, including non-perishable packaged or canned food and juices, food for infants and the elderly, snack food, manual can opener, vitamins, etc.
  • Meal supplies: Paper plates, paper cups, paper towels, and plastic utensils
  • Radio: Battery-powered radio and NOAA Weather Radio with extra batteries
  • Sleep: Sleeping bag, blankets, and pillows
  • Clothing: Seasonal clothes, rain/snow gear, and sturdy shoes
  • First-aid kit with medicines and prescription drugs
  • Toiletries: Hygiene items, moisture wipes, and sanitizer
  • Flashlight and batteries
  • Car and house keys
  • Toys, books, and games
  • Fire extinguisher
  • Whistle to signal for help
  • Dust mask to filter contaminated air
  • Wrench or pliers to turn off gas or utilities
  • Maps
  • Cell phone with chargers and a backup battery
  • Paper and pencils
  • Household chlorine bleach and medicine dropper to disinfect water
  • Glasses, contacts, and contact lens solution
  • Infant formula, bottles, diapers, wipes, and diaper cream
  • One week or longer supply of prescription medicines with a list of all medications, dosage, and any allergies
  • Copies of medical insurance and Medicare identification cards
  • In case of emergency (ICE) contact information for doctors, relatives, or friends to be notified if you are injured

See more about preparing emergency supply kits specifically for people with disabilities.

Pet Supplies Checklist

  • Pet food: At least a two-week supply of dry food in a water-tight container or canned food (include a manual can opener)
  • Water: At least a two-week supply of clean water; large dogs need one gallon per day
  • Portable carrier large enough for the pet to stand up, turn around, and lie down
  • Extra leash and collar or harness with an identification and rabies tag
  • Up-to-date health and immunization records
  • Two-month supply of medications like flea, tick and heartworm prevention
  • Toys, treats, and bedding (familiar items can help reduce stress for your pet)
  • Registration information, adoption papers, and vaccination documents: Discuss microchipping and enrolling your pet in a recovery database with your veterinarian.
  • First-aid kit, including cotton bandage rolls, bandage tape and scissors, antibiotic ointment, flea and tick prevention, gloves, isopropyl alcohol, saline solution, and a pet first aid reference book
  • Pet litter and litter box if appropriate, newspapers, paper towels, plastic trash bags, and household chlorine bleach
  • Picture of you with your pet to document ownership if you become separated: Add a note specifying your pet’s species, breed, age, sex, color, and distinguishing characteristics

Keep your disaster kit fresh

Remember to replace your stored food and water every six months. Dedicate one area of your cabinet or pantry to non-perishable food like peanut butter and jelly that you continuously replace.

  • Keep canned food in a cool, dry place.
  • Store boxed food in tightly closed plastic or metal containers.
  • Keep a supply of fresh batteries.
  • Use items and continually replace them to avoid expiration and waste.
  • Review your needs and update your kit annually.

Water supply is a top priority

Make your emergency water supply a top priority. Your requirements will vary depending on age, physical condition, activity, diet, and climate.

An active person needs at least two quarts of drinking water daily, so store at least one gallon of water per person per day for a minimum of three days. This amount will provide for drinking, cooking, and sanitary needs.

Children, nursing mothers, and people with health issues will need more. Keep in mind that high temperatures can double the required water amount.

Store your water in thoroughly washed plastic, fiberglass, or enamel-lined containers. Don’t use containers that can break (like glass bottles) and never use a container that has held toxic substances. Plastic containers like soda bottles work, and camping stores offer various containers.

Seal your water containers tightly and label and store them in a cool, dark place. Put a date on each container, and change stored water every six months.

Identify and gather important documents

Collect your household documents and create a photographic inventory of your household contents and valuables for an efficient insurance claims process.

  • Insurance papers
  • Medical records
  • Bank account numbers
  • Social Security cards
  • Deeds or mortgages
  • Birth and marriage certificates
  • Stocks and bonds
  • Recent tax returns
  • Wills and estate papers
  • Emergency or hotline contact information
  • Valuables and priceless personal items

Secure your documents in a safe place. Store paper copies in a fireproof and waterproof box or safe at home, in a bank safe deposit box, or with a trusted friend or relative. Keep electronic copies of important documents in a password-protected encrypted format on a removable flash or external hard drive in your fireproof and waterproof box or safe, or use a secure cloud-based service.

Store your disaster supply kit, documentation, and valuables in waterproof containers away from basements or other home locations that may flood.

Store multiple kits in multiple locations

A disaster can occur when you are at home, work, or traveling. Prepare a kit for your home, work, and all vehicles.

  • Home: Have this kit in one location that all family members know and can access.
  • Work: Prepare to shelter at work for at least 24 hours with food, water, and other needed items like medicines and comfortable walking shoes stored in a portable container.
  • Vehicle: Keep an emergency supply kit in your car.

More Resources

Quickly changing weather and environmental conditions demand careful attention. You can stay safe by staying aware of the latest disaster events in your community in a variety of ways, including those that operate without electric power.

No matter how you receive your updates and alerts, make sure you choose more than one method so you have a backup plan during any emergency.

What You Can Do Right Now

Purchase a NOAA Weather Radio receiver with backup battery power. NOAA Weather Radio from the National Oceanic and Atmospheric Administration is a nationwide, 24-hour radio station network that broadcasts continuous weather information like forecasts, watches, warnings and all-hazard updates, such as earthquakes or environmental events like chemical releases or oil spills.

NOAA Weather Radio is commercial-free but requires a specific receiver or scanner that is widely available for as little as $30. You may need an external antenna if you are more than 30 miles from the nearest transmitter.

The nationwide Emergency Alert System can deliver wireless emergency alerts to your devices. In addition to NOAA Weather Radio and the Emergency Alert System, you also may be covered by a community-level emergency alerting system.

If your government alerting system uses landline telephones, but you do not have one, you may still be able to connect your mobile devices to Enhanced Telephone Notification systems like Reverse 911© and text messages. Strobe lights, pagers, computers, and text printers can be connected for the visually and hearing-impaired, as well.

Download your state or local emergency management agency app and the FEMA app. Enable text message alerts (message and data rates will apply).

Look for updates from official local government and emergency management agencies and utility providers on their websites and social media to stay current before, during, and after a disaster.

Sign up for listservs and emergency alerts from your workplace, school, houses of worship, or other community organizations that provide notifications during an emergency.

What to Do During Extreme Weather

Monitor weather forecasts frequently using apps, devices, government alerting services, radio/television news, and social media. Always keep your cell phone charged and activate location settings that allow weather-related apps to follow and alert you no matter where you go.

No matter how you plan to receive emergency alerts, listen to broadcasts and check online every 30 minutes during emergencies to stay current on the latest updates and essential instructions.

More Resources

Why do they matter?

The roof covering is one of your house’s first and most important defenses against hurricane winds and wind-driven rain, and unfortunately, it’s also often the weakest part of the roof.

What do I need to know?

  • Common residential coverings include asphalt shingles, concrete and clay tiles, and metal panels.
  • High-wind rated shingles, metal roof or metal panel/standing seam metal roof system, or concrete and clay tile are resilient roof coverings when installed along with the proper connections per manufacturer’s instructions for increased wind loads.
  • Many hurricane-prone areas are also prone to hail. Look for wind and impact-rated roof coverings to protect roof coverings from wind and hail damage.

Types of roof coverings

Asphalt shingles

Two of the most common causes for damage to asphalt shingle roof coverings in high-wind events are improper installation and use of shingles that are not rated for the wind speeds identified in the building code. It is essential to understand the wind-resistance ratings and special installation methods for asphalt shingles in high-wind, coastal regions.

Pros:
  • Relatively low cost, lightweight, and easy to install
  • Good fire resistance (usually Class A)
  • UL 2218 Class 3 and 4 impact resistance is available and should be used in hail regions
  • Available with wind warranties up to 130 mph if installed per manufacturer’s high-wind requirements
  • Asphalt shingles should be installed following FEMA 499 Technical Fact Sheet No. 7.3, which explains asphalt shingle installation, wind-resistance ratings, and weathering and durability
Cons:
  • Aging and weathering may decrease effectiveness in high winds and impact resistance
Considerations:
  • If you have an old roof replaced, your contractor should remove the existing shingles and underlayment rather than install new shingles. This approach allows the contractor to inspect the sheathing and make any needed repairs.
  • For the highest level of wind-rated shingle, look for shingles that are rated to ASTM D3161 Class F or ASTM D7158 Class H. For the highest level of impact protection, look for shingles that meet UL 2218 Class 4.
  • Nails for homes within 3,000 feet of saltwater should be hot-dip galvanized or stainless steel.
  • Use six nails per shingle for three-tab shingles and follow manufacturer’s instructions when using architectural shingles.
  • Ensure the shingles do not extend more than ¼” beyond the roof’s edge for a square drip edge.
  • Your roofing designer should obtain manufacturer information on bond strength and nail pull-through resistance, and use products with the upper ranges of available strengths.

Metal

Pros:
  • Attractive and relatively lightweight
  • Last up to 40 years
  • May have a Class A or B fire rating
Cons:
  • Typically more expensive than asphalt shingles
  • Cosmetic damage from hail may cause permanent dimples
Considerations:
  • If installing a metal roof system, FEMA 499 Technical Fact Sheet No. 7.6 provides guidance on selecting and installing panel or shingle system.
  • For metal roofs, use clips or cleats instead of exposed fasteners because they aren’t exposed to weather and they allow the metal to expand and contract reducing the opportunity for buckling
  • If exposed fasteners are used on metal roofs, they should be corrosion resistant and penetrate the sheathing

Slate

Pros:
  • Can last three times longer than shingles
Cons:
  • Expensive and very heavy
  • Some roof structures are unable to support slate
  • Additional installation cost

Tile

Pros:
  • Popular in some areas
  • Available in concrete or clay
  • Concrete tiles are more durable and can last more than 30 years
Cons:
  • Performance in hail storms varies by type
  • Clay tiles are brittle and can be easily chipped or broken
  • Tiles are heavy, and some structures are unable to support the weight
  • Can take longer to install making labor costs more expensive
Considerations:
  • On tile roofs, use wind clips or storm anchors in high wind or seismic areas
  • On tile roofs, two screws per tile give the highest wind uplift resistance and will help the tile resist shifting.
  • Installation is critical in high wind areas when using clay or concrete tile, especially on the hip and ridge tiles

Wood shingles and shakes

Pros:
  • Made from cedar, southern pine, or other woods
  • Attractive appearance
  • Perform moderately well against hail
Cons:
  • May not be fire-rated unless treated with a fire retardant
  • Some local codes limit their use

All other roof coverings

  • All roof coverings, regardless of type, should be installed in accordance with the manufacturer’s installation instructions for the appropriate design wind speed.

Where do I start?

  • Contact a licensed roofer in your area to evaluate your existing roof and determine what can be done to make it more resilient.
  • Check local code requirements for roof repair or replacement criteria. Your local building official should be able to provide additional recommendations.

More Resources:

  • FLASH. Resilient Design Guide: High Wind Wood Frame Construction Edition.
  • FLASH. Volunteer Guide Mitigation for High Wind Events.
  • FEMA. Secure Metal Siding and Metal Roofs.
  • FEMA. Secure Composition Shingle Roofs.
  • FEMA P-804, Wind Retrofit Guide for Residential Buildings.
  • National Roofing Contractors Association (NRCA) Steep-Slope Roofing Manual

Why do they matter?

If you do not have wind or impact-resistant skylights, you may want to consider replacing them with newer models that are tested and approved to resist wind pressure, windborne debris impacts, and hail.

What do I need to know?

The best time to replace skylights is during re-roofing. Removing the old roofing material will provide easy access to replace the skylights with wind- and impact-rated types that do not need any additional coverage in high-wind events like hailstorms, hurricanes, or tornadoes. This is important as it is not only inconvenient to cover skylights before a hurricane, but it is nearly impossible to protect them before a hailstorm or tornado strike.

Where do I start?

Replacing your skylights

  • Check with your local building department for information about the wind speed rating and windborne debris protection requirements your skylights should meet.
  • Be sure to follow the manufacturer’s specifications when using or installing skylights as improper installation may cause a voided warranty or, worse, a product failure that presents a threat to life and property. Learn more about installing windows and skylights here.
  • Select skylights that meet the Design Pressure (DP) ratings for your location.

More Resources:

Why do they matter?

A sealed roof deck provides a secondary water barrier or a supplemental way to keep wind-driven rain from coming through the deck joints or seams when the primary roof covering (shingles, etc.) and traditional underlayment are damaged, detached or blown away in severe weather. Insurance Institute for Business and Home Safety research indicates that a sealed roof deck can prevent as much as 90% of wind-driven rain from coming through deck joints and entering your attic. This keeps the equivalent of nine bathtubs of water per minute from seeping through your ceilings and causing costly damage.

What do I need to know?

Roof decks are made with plywood, oriented-strand board, or engineered wood panels with an integrated, water-resistive barrier.

Panels are spaced slightly apart to allow the wood to expand and contract (move) in heat or cooling conditions.

There are four ways to seal your roof deck:

  • Cover deck panel seams with self-adhering modified bitumen flashing tape or flexible flashing tape.
  • Attach a second layer of either Type II (#30) or Types III and IV (#30) felt underlayment secured with button cap nails spaced at 6” along the edges and 12” in the field.
  • Apply a complete layer of a self-adhering membrane (ice and water shield) across the entire roof deck.
  • Apply closed-cell polyurethane spray foam adhesive on the underside of the roof deck inside the attic.

Note that some state building codes now require sealed roof decks for new and replacement roofs.

Where do I start?

  • Ask your roofer to seal your roof deck and create a secondary barrier water during new construction or when re-roofing so your deck will be protected when exposed to wind-driven rain.

More Resources: