Homeowners' insurance provides protection for your home, belongings and the people inside. But it is important to make sure your policy protects you from major problems you might encounter. According to the Insurance Information Institute, here at the most common home insurance claims listed (from the most claims to the least):
#1 Wind & Hail (34% of claims): This category involves destruction caused by hurricanes, tornados and wind and hail that come with thunderstorms. While this category accounts for more than a third of homeowners' claims, it is not the most expensive claim (which is an average of $11,200.00 per claim).
#2 Fire & Lightning (32% of claims): This category ranks second in frequency but it ranks number one in the most expensive claims. Part of the reason is that fire destroys property at a very fast pace. The average claim is $79,785.00.
#3 Water Damage & Freezing (24% of claims): With water pipe damage, more than freezing for Northeast Florida homeowners, plumbing failures and flooding can cause all types of property damage. The average claim is about $10,849.00.
#4 Non-Theft Property Damage (6% of claims): This category includes a variety of damage that can occur in your home. These incidents range from a tree falling through your roof to someone driving into your home to vandalism. While this is a more general category, it is estimated that the average claim is $6,598.00.
#5 Liability (2% of claims):This category covers incidents such as a guest being injured or has their property damaged while visiting your home. This could mean you are liable for their medical costs or repair or replacement costs of their property. While these claims actually rank second in average cost at $26,872.00, the number of claims is low.
#6 Theft (1% of claims):Theft is the smallest of the most common claims. A major reason for this is that people have been fairly good about using home security systems to protect their homes. The average claim is $4,391.00.
The Bottom Line
Does your homeowners' policy cover all of these types of claims? Does your policy ensure that all of your risks are adequately covered? It is a good idea to have your J.P. Perry agent review your policy from time to time to make sure your coverage is up to date.