Hurricane Season in New Jersey: Are Your Home and Auto Properly Protected?
Atlantic hurricane season runs from June 1 through November 30. While New Jersey may not experience hurricanes as frequently as southern coastal states, our homes and vehicles can still be damaged by tropical storms, heavy rain, flooding, high winds, falling trees and extended power outages.
Before a storm appears in the forecast, homeowners and drivers should review their insurance and make a preparation plan. Once a major storm is approaching, insurance companies may temporarily restrict new policies or coverage changes.
Here is what New Jersey residents should check now.
Does Homeowners Insurance Cover Hurricane Damage?
A standard homeowners policy generally covers certain types of hurricane-related damage, including damage caused by:
Wind
Hail
Falling trees or branches
Wind-driven objects
Roof damage that allows rain to enter the home
Certain additional living expenses if a covered loss makes the home uninhabitable
However, coverage depends on the cause of the damage and the terms, exclusions, limits and deductibles in your individual policy.
Most standard homeowners policies do not cover flooding, including flooding caused by storm surge, overflowing waterways or water accumulating on normally dry land.
Home Insurance Coverages to Review Before a Hurricane
Dwelling replacement cost
Your dwelling limit should reflect the estimated cost to rebuild your home—not its market value or the price you originally paid for it.
Construction costs can increase after a widespread storm because contractors, building materials and equipment are in high demand. If you have renovated your kitchen, finished a basement, added a room or made other improvements, your policy may need to be updated.
Ask your insurance agent whether your policy includes extended replacement cost or guaranteed replacement cost coverage.
Hurricane and windstorm deductibles
Some New Jersey homeowners policies include a separate hurricane or windstorm deductible. Unlike a standard flat deductible, this may be calculated as a percentage of your dwelling coverage.
For example, a 2% deductible on a home insured for $500,000 would equal $10,000.
Review your policy now so you understand which deductible could apply and how much you would be responsible for paying after a covered loss. The New Jersey Department of Banking and Insurance recommends reviewing these policy details before severe weather arrives.
Flood insurance
Flood damage is generally excluded from standard homeowners insurance. A separate flood insurance policy may protect your home and belongings from direct physical damage caused by flooding.
Flood insurance is not only for coastal homes or properties located in high-risk flood zones. Heavy rain, poor drainage, overflowing streams and overwhelmed stormwater systems can cause flooding throughout Morris County and other parts of New Jersey.
Flood coverage may be available through the National Flood Insurance Program or a private flood insurance company. NFIP policies commonly have a 30-day waiting period, with limited exceptions, so homeowners should not wait until a storm is approaching to apply. Learn more through FloodSmart.gov.
Water backup and sump pump overflow
Flood insurance and water backup coverage are not interchangeable.
A water backup endorsement may help cover certain damage caused by water backing up through a sewer or drain or overflowing from a sump pump. Coverage varies by policy, including the causes covered and the applicable limit.
Homes with finished basements should pay particular attention to this coverage. Flooring, furniture, electronics and other basement belongings can add up quickly after a water loss.
Personal property replacement cost
Check whether your belongings are covered at replacement cost or actual cash value.
Replacement cost coverage may pay what it costs to replace covered belongings with comparable new items, subject to the policy terms. Actual cash value coverage generally accounts for depreciation, potentially leaving you with a larger out-of-pocket expense.
High-value jewelry, artwork, collectibles and other valuables may also need to be listed separately on your policy.
Additional living expenses
If covered storm damage makes your home temporarily uninhabitable, additional living expense coverage may help pay for eligible costs above your normal household expenses, such as a hotel, temporary rental and additional meal expenses.
Review the coverage limit and time restrictions before you need to use it.
Ordinance or law coverage
After major damage, local building codes may require portions of your home to be rebuilt or upgraded to current standards. Ordinance or law coverage can help with certain additional expenses resulting from those code requirements.
Does Auto Insurance Cover Hurricane and Flood Damage?
Damage to your vehicle from flooding, falling trees, flying debris, hail or wind is generally handled under optional comprehensive coverage, sometimes called “other than collision” coverage.
Liability-only auto insurance does not pay for hurricane or flood damage to your own vehicle. The New Jersey Department of Banking and Insurance specifically advises drivers that comprehensive coverage is the coverage that may respond to vehicle damage from floods and falling trees.
Drivers should also review:
Their comprehensive deductible
Rental reimbursement coverage
Roadside assistance or towing coverage
The current value of each vehicle
Whether comprehensive coverage is included on older or paid-off vehicles
Do not wait until a storm is in the forecast to request comprehensive coverage. Insurance carriers may restrict coverage changes when a major storm is approaching.
How to Prepare Your Home Before a Storm
Taking preventive steps can help reduce damage and make the claims process easier.
Trim weak or damaged tree limbs near your home, garage and driveway.
Clean gutters and downspouts so water can drain away from the foundation.
Inspect the roof for loose or missing shingles.
Secure patio furniture, grills, planters, toys and outdoor decorations.
Test sump pumps and consider a battery backup.
Make sure smoke and carbon monoxide detectors work.
Charge phones, power banks and necessary medical devices.
Prepare flashlights, batteries, drinking water, food and medications.
Know how to shut off your home’s electricity, gas and water if instructed.
Sign up for local emergency alerts and follow instructions from New Jersey emergency officials.
Create a Home Inventory
Walk through your home and take photographs or video of each room, including closets, cabinets, the basement and garage. Record valuable items, model numbers and serial numbers when possible.
Store the inventory, insurance policy information and important documents somewhere you can access after an evacuation, such as secure cloud storage. NOAA also recommends completing an insurance checkup and documenting your belongings as part of hurricane preparation.
Protect Your Vehicles
When severe weather is expected:
Move vehicles to higher ground if flooding is possible.
Avoid parking under trees or utility lines.
Fill the gas tank or charge an electric vehicle.
Do not drive through standing or moving water.
Keep an emergency kit, charger, flashlight and first-aid supplies in the vehicle.
Photograph the vehicle before the storm if significant damage is expected.
Bring your insurance ID card and claims contact information if you evacuate.
What to Do After Hurricane or Storm Damage
Put personal safety first and avoid downed wires, unstable trees and floodwater.
Once it is safe:
Photograph and video the damage before moving or disposing of anything.
Contact your insurance agent or carrier promptly.
Make only reasonable temporary repairs needed to prevent additional damage.
Keep receipts for tarps, emergency repairs, hotel stays and other storm-related expenses.
Do not make permanent repairs until the damage has been documented and you understand the claims process.
Be cautious of contractors who demand full payment upfront or ask you to sign over an insurance settlement.
Review Your Home and Auto Insurance Before the Next Storm
Hurricane preparation is about more than buying supplies. It is also about understanding what your insurance covers—and what it does not.
BIS Improved Insurance can review your homeowners, flood and auto insurance to help identify possible coverage gaps, outdated limits or deductibles that could create an unexpected expense after a storm.
We serve homeowners and drivers throughout Morris County and Northern New Jersey, including Morris Plains, Morristown, Randolph, Roxbury, Denville, Parsippany and Succasunna.
Contact BIS Improved Insurance today to schedule an insurance review before the next major storm reaches New Jersey.
Coverage varies by insurance company and policy. This article is for general informational purposes. Refer to your policy and speak with a licensed insurance professional for details about your coverage.
Frequently Asked Questions
Does homeowners insurance cover hurricane wind damage?
Wind damage from hurricanes is generally covered by standard homeowners insurance, but a separate windstorm or hurricane deductible may apply. Coverage is subject to the policy’s terms, limits and exclusions.
Does homeowners insurance cover hurricane flooding?
Most standard homeowners policies exclude flood damage. Flood coverage typically requires a separate flood insurance policy.
Does flood insurance start immediately?
NFIP flood insurance commonly has a 30-day waiting period, although certain exceptions apply. Private flood insurance waiting periods may vary.
Does auto insurance cover a flooded vehicle?
Comprehensive auto coverage may cover flood damage to a vehicle. Liability-only coverage does not cover flood damage to your own car.
Should I keep comprehensive coverage on a paid-off vehicle?
That depends on the vehicle’s value, the deductible and how much financial loss you could comfortably absorb. An insurance agent can help you compare the cost of the coverage with the vehicle’s current value.
If you are looking for a Home, Auto and Umbrella Insurance Review. Please contact us here or give us a call at (201)-953-6306.
