Kevin McEwen, CIC, AAI - Hillcrest Insurance Agency
We have been getting this question a lot lately. Before I discuss whether or not you should report hurricane damage (even if it's minor) I want to take a second to explain how your hurricane deductible works.
In Florida, homeowners will typically have at least two different deductibles on their policy. The All Other Perils deductible - which applies to claims that are not a result of hurricane damage-typically a flat $500 or $1000 per claim
The Hurricane Deductible -Typically written as a percentage (2%, 3%, 5%) which is a percentage of the amount that the home is insured for. If you have a $200,000 home with a 2% Hurricane deductible, then you would be responsible for $4000 as your deductible.
The Hurricane Deductible is a cumulative deductible per calendar year. So if you suffered minor damage from Hurricane Irma say $2,000 for screen repairs and a couple of shingles then you have met $2,000 of your $4,000 hurricane deductible for the calendar year.
If we have another hurricane prior to Dec 31, 2017 and you suffer damage
Then you would only be responsible for the remaining $2,000 of the $4,000 hurricane deductible.
BUT
In order to get the benefit of the cumulative deductible many homeowners carriers require that you report minor damage claims to them.
If you review your policy you will find this requirement in what most companies call the Hurricane (Calendar Year) deductible endorsement attached to your policy.
So our recommendation is to review your policy for clarification (or bring it by the office and we will help you look it over)
In most cases even if you had minor damage that did not exceed your deductible, you should report the loss to your insurance company.
Finally, a word for the attorneys—In all cases you should consult your own insurance policy before making decisions. These comments are general in nature and your policy language may be different.