What percentage of total losses does disaster insurance pay?

Question

Problem: A $250,000.00 House & Land, 2 cars at $85,000.00 combined, a $40,000.00 boat, a $25,000.00 camping trailer, a $15,000.00 motorcycle, $25,000.00 in furniture, and an additional $60,000.00 in various goods and products , for a total of : $500,000.00 in total listed losses from a tornado/hurricane wiping out my real estate property.

What percentage of the property is covered by disaster insurance, generally?

Answer 1

The cars and motorcycle should be covered under their own policies. Depending on the type of boat and trailer, same with them. (If it is a small boat, under $40k, it might have coverage).

What will be covered for your house depends on your policy. If the replacement cost of your house is $250k, and you have $250k of coverage, it will be replaced completely, less your deductible. Most home policies have coverage for personal property (not counting vehicles and large boats) of 50% of the value of your home. In this case, up to $125k. This seems to be enough to cover your personal stuff.

You need to try to remember what company insured your house and vehicles, and give them a call. Hopefully you were insured up to the value of your house. If this is the case, you are ok. If you had a house worth $250k but only had $125 worth of coverage, you would only receive 50% of your damages (since you were only 50% insured).

Good luck.

Answer 2

Phil is correct in his answer.  I am not sure if you are describing your damages here or your policy limits.  You need to check with your insurance policies and company for your policy limits.  The adjuster will determine the amount of damage to each of the items.  If they are total losses then it will depend on the type of policy you have (Replacement Cost or not).  Be aware that if you have a mortgage or loan against any of the property, that loan company will be included on the check that you receive.  Good luck and I hope everyone made it out of the disaster safe.