Hurricane Helen Approaches: Review Home Insurance Coverage

Hurricane Helen is rapidly strengthening as it makes its way towards the Gulf Coast, prompting widespread concern among homeowners in the storm's path. This storm is a reminder for homeowners to take a close look at their homeowners insurance policies, especially as their homes represent one of their most significant investments. It's crucial to understand what your insurance covers and what it does not. A standard homeowners insurance policy covers the actual structure of your home as well as detached structures like garages or guest houses. It protects personal belongings inside these dwellings and provides liability coverage in case someone is injured on your property. In addition, homeowners should be aware of the exclusions, as damage must be caused by one of the 16 covered perils, including fire, vandalism, smoke, or even volcanic eruptions. Homeowners Insurance typically comes in three types of general coverage: Actual Cash Value, Replacement Cost, and Guaranteed Replacement Cost. Under Actual Cash Value, the insurer pays to replace or repair the home and its contents, minus depreciation. Therefore, homeowners must ensure that they have sufficient coverage to protect against damages from severe storms like Hurricane Helen.