The Key to a Stress-Free Homeowners Insurance Claim: Being Prepared

The Key to a Stress-Free Homeowners Insurance Claim- Being Prepared

The Key to a Stress-Free Homeowners Insurance Claim: Being Prepared

According to the Insurance Information Institute data on homeowners insurance claims, one out of fifteen homes files a claim every year. One in forty will file a claim related to damage caused by weather events, and one in fifty will file a claim related to water damage.

When you take into account that every square mile of Florida has some level of flood risk, the chances of needing to file a homeowners insurance claim is real. Olympus policyholders can have peace of mind with comprehensive coverage, and by being prepared in the event that a claim needs to be filed.

Understand Your Coverage

Your homeowners insurance policy has several sections of coverage:

Coverage A protects the structure of your house itself, commonly referred to as the “dwelling” and any structures attached to it, such as an attached garage.
Coverage B protects outlying structures on the property, including buildings like sheds and detached garages (which Olympus covers at 100% replacement cost), and other structures such as fences, boat lifts, and docks (which Olympus covers at actual cash value or depreciated cost).
Coverage C protects the contents of your home, including personal property and other valuables. This coverage can be expanded with Scheduled Personal Property Coverage or Spartan Enhanced Coverage.
Coverage D protects against loss of use, meaning it provides payments to cover having to live and eat away from home during repairs if your house is damaged too badly to be occupied.

It’s just as important to know what your standard homeowners policy does not cover. Flood policies must be acquired separately, and can be obtained through the National Flood Insurance Program (NFIP).

Know Your Deductibles

There are normally two types of deductibles, which are “triggered” based on what caused the damage to your home.

Hurricane deductibles kick in if the damage is done by a “named storm”. The usual deductible is 2% of your home’s insured value, so this deductible can be quite high (a home insured at a value of $500,000 would have a $10,000 deductible). Olympus offers optional flat rate hurricane deductibles of $500 and $1,000.
All Other Peril (AOP) deductibles apply to damage done by other than named storms. These deductibles vary based on your policy; a higher annual premium can mean a lower deductible and vice versa.

Create a Home Inventory

Homeowners who have a home inventory list are much more likely to have all of their items covered by their insurance claim, and can speed up the claims process by having this information on hand for their claims adjusters. Olympus provides a home inventory checklist which can be used as a starting point to create your own comprehensive home inventory.

Keep a Home Documents File

A home inventory list can be kept in a special file full of home documents. Other things to keep in this file include copies of your home insurance policy, flood insurance policy, mortgage agreement, receipts and documentation of any and all repairs or improvements made to your home, photos of the exterior and interior of your house, garage, and property.

Preparing for the day when you might have to file a claim can help you streamline the claims process if you end up being the one out of fifteen homes that has a loss this year.

About Olympus Insurance Company

Headquartered in Palm Beach Gardens, FL and founded in 2007, Olympus Insurance Company specializes in Florida property insurance. Through its independent agency force, Olympus insures $40 billion worth of residential and investment property including homes, condos, rental property, and valuable personal property, with umbrella coverage and Spartan Enhanced Coverage available. Coverage for individual risks up to $5 million in total insured value is provided on one of the most comprehensive coverage forms in the industry.

For more information, visit olympusinsurance.com.

This article is for informational purposes only and does not form a part of, replace, change or amend any terms, conditions, provisions or language within your Olympus Insurance policy. We encourage you to read your entire policy.