Are beach homes covered for storm surge?
Homeowners with beach property often carry homeowners and windstorm insurance but don’t carry flood insurance. They don’t understand that storm surge is actually a flood event, and floods are specifically excluded by homeowners insurance. Those who do purchase a basic flood policy may still be grossly exposed. The national flood program only provides up to $250,000 of coverage on the dwelling and up to $100,000 on the contents. Meanwhile, the typical homeowners policy in Florida is written for approximately $400,000. That’s a substantial gap. It’s very important to buy an excess flood policy to avoid this potentially huge exposure that is not covered under your other policies. Does an umbrella policy cover lawsuits brought by domestic workers? An umbrella policy covers events like car accidents where you are sued for a $1 million and your underlying policy limits are only $250,000 and $500,000. Most standard umbrella policies are for third-party claims and exclude coverage for domestic
