Wind Claim Types
Hurricane
A hurricane is a wind storm event wherein the sustained winds exceed 73 mph and is categorized on a scale from 1-5; 3-5 being catastrophic as far as damages are concerned.
Tornado
A tornado is a mobile, destructive vortex of violently rotating winds having the appearance of a funnel-shaped cloud and advancing beneath a large storm system. Also rated by wind speeds from an F1- F5. Although an F1 is powerful, an F5 is the strongest and most destructive in terms of property damage they can cause.
Tropical Storm
A tropical storm is much like a hurricane wherein it is a rotating mass of winds that form over tropical oceans and wind speeds up to 75 mph. Though not hurricane strength, they too can cause widespread property destruction.
Other Winds
Any other winds whether steady or gusting that cause damage to your property.
*The above stated winds are subject to deductibles whether a hurricane or other event. A named hurricane event is subject to a much higher deductible than the others and typically at a 2-5% deductible as opposed to a non-hurricane event at the normal deductible shown on your declaration pages of the policy.
Property Insurance Deductibles
Deductibles are a way of life when it comes to property insurance policies and come in many
different sizes.
Take a wind policy for instance. Wind deductibles like other peril deductibles are usually a
choice of what amount you choose, typically it’s 2,5 or 10% of the coverage A amount. And for
an even higher premium, a lower amount such as $2,500.
When a claim is made, the adjuster will write an estimate for repair and the deductible will be
shown or taken from the estimate total. There are some instances wherein the deductible will
be waived, such as a total loss or if any stated limit in the policy is exceeded in excess of the
deductible amount. This is called absorption of the deductible, but it is dependent on the
policy language whether it can be waived or not.
To clear up a matter I’ve seen over the years on this subject, my clients often think that the
carrier has taken the deductible more than once over the course of negotiation. The reason for
this is because every time an adjuster writes a new estimate the deductible is shown and taken
on the totals page. Because it’s a new estimate the deductible will be shown and the additional
monies or difference will be paid to the insured. If it was an addendum estimate then in that
case the deductible should not be shown or taken.
