How to Prepare for a Natural Disaster with Insurance
Natural disasters are unforeseeable and can happen at any moment. Therefore, you need to stay protected when they happen. Natural disasters include floods, earthquakes, tornados and fire. There are different types of insurance that you can take to protect yourself from catastrophes.
- Property insurance
Property insurance is a broad phrase for a series of policies that provide property protection coverage for property owners. It provides financial compensation to the property owner when their property is damaged or cause injury to someone else. Property insurance includes insurance policies such as flood insurance, earthquake insurance and fire insurance. If a disaster happens and damages your property, the policy will reimburse you the actual cost of destruction or the replacement cost to fix the problem. It also offers extended replacement costs. Events covered by property insurance include weather-related events, including damage caused by fire, smoke, wind, and hail, the impact of snow and ice, and lightning. The insurance policy also offers cover against theft and vandalism. If someone decides to sue the property owner due to damages caused by their property, property insurance provides cover.
- Catastrophe insurance
Catastrophe insurance covers businesses and residences against natural disasters such as earthquakes, floods, hurricanes, and human-made disasters such as riots or terrorist attacks. Different catastrophe insurance is accessible to cover destruction. Catastrophe insurance is different from other types of insurance as it is hard to estimate the total potential cost or loss incurred during a catastrophic event. Special catastrophe insurance includes insurance policies such as flood insurance, earthquake insurance, etc. When you consider an insurance policy against disaster, you should look at the area you live. Certain topographic regions are at an elevated risk of a natural disaster than others. For example, living in areas with elevated risk floods requires you to consider flood insurance; the same goes for hurricanes and wildfires. If you want to protect yourself, your family and your home/business from natural disasters, talk to the team at Insurance Advisernet. Our insurance advisers will help you choose the right type of insurance for you. Visit our website or contact us for more information.