We have all heard the horror stories about natural disasters destroying people’s homes, properties and possessions and how those unfortunate people end up losing everything. While these stories may be true for some, they definitely do not need to have a devastating ending for all.
We will all experience weather events that have the potential to cause loss or damage.
Perils- the events that cause loss or damage to property- may be even more prevalent these days due to global warming which, among a multitude of other consequences, is causing major changes in weather patterns. These changes in turn may cause events such as lightening, tornadoes, wildfires, etc. to occur on a more frequent basis than we have seen in the past.
There is a common misconception that perils that are commonly referred to as ‘acts of god’ are not covered by home insurance when in reality they are typically covered under an “all perils” policy.
Generally, your home insurance policy will financially protect you against the following types of events:
- Fire
- Wildfires
- Lightening
- Smoke
- Windstorms
- Tornadoes
- Hurricanes
- Ice and hail
Events that are generally not covered by a basic insurance policy include earthquakes, landslides and floods (due to overflow from a body of water) *
*It is important to note the difference between floods that are caused by an overflow from a body of water (which are not covered by a basic homeowner’s policy) and flooding that is caused by a burst pipe (this type of flooding is generally covered in a basic policy).
In most cases if you want coverage for the above-mentioned events you will need to purchase a rider. A rider (which may also be called an endorsement) is a provision to a policy that changes it is some way- by adding, removing, or excluding specific coverages. An endorsement/rider may be added to include events that are not covered by a basic policy; it may also be used to increase standard limits of coverage and take precedence over the original agreement or policy.
Life is unpredictable and Mother Nature certainly keeps us on our toes. While it may be 2022 and we have learned to control so many aspects of life we have not learned to control Mother Nature- she continues to surprise us on a daily basis. We may wake to a beautiful sunshine filled morning and by that afternoon a storm will be raging so strongly that we are concerned for our safety. Ensure that you and your loved ones are financially covered should a natural disaster occur in your area. Contact the team at All-Risks Insurance Brokers (Danforth) to discuss all perils coverage as well as the possibility of needing a rider in case Mother Nature throw a surprise your way. They understand that forces of nature do not need to cause financial disasters and will help to you to protect what matters most.