Wildfire Insurance: Are you covered? 

 

SEATTLE – Major wildfires burning in Washington, Oregon and Idaho are threatening homes and businesses, forcing evacuations and consuming more than 145,000 acres. The fires are a grim reminder for homeowners and business owners to take action now to protect your property and make sure you have adequate insurance.   

Wildfire risk in 2014 is above normal for southwestern Idaho, central and south central Washington and most of Oregon. Last year wildfires torched more than 1.2 million acres total in all three states, according to the National Interagency Fire Center (NIFC).

Wildfire damage is covered by standard home and business insurance policies, but claims take time and insurance coverage can’t restore irreplaceable family heirlooms and other one-of-a-kind items, so it’s important to do everything you can reduce the chances you will be a victim.

Inspections paired with constructive safety recommendations are a huge benefit to property owners. Insurance experts are taking time to warn their customers of serious risks to their properties so they can invest in safety ahead of time. To help save lives and property, insurance companies are inspecting homes and recommending appropriate actions customers can take to reduce fire risks. Some customers may face premium increases or coverage cancelation if adequate measures are not taken.

Nationally, catastrophic wildfires scorched more than 4 million acres and caused $385 million in insured losses in 2013, according to the Insurance Information Institute.

NW Insurance Council offers the following tips to help residents protect their homes, families and businesses:

• Review your insurance policy – Contact a representative from your insurance company or your insurance agent to be sure you have the right coverage to meet your needs. Make sure you have the appropriate amount of insurance, especially if you’ve recently made additions to your home.
• Maintain a complete home inventory – Keep copies of contracts and receipts of your personal possessions in a safe place outside of your home. Take pictures or video of your belongings. Your home inventory can help you and your adjuster settle your claim if your home is damaged or destroyed by wildfire. Free, downloadable Home Inventory Software is available on the Insurance Information Institute’s website.
• Develop an emergency preparedness plan – Gather and store a three-day supply of food and water, First Aid supplies, flashlights and a portable radio. Visit GetReadyNW.org for more disaster planning and insurance information. 
• Defensible Spacing – Clear brush 30 to 100 feet from your home. Keep your yard well groomed and watered and remove old stumps and weak or diseased trees from your property. Create a buffer zone by landscaping with fire-resistant plants. Contact your local utility company if you notice tree branches touching power lines.
• Fireproof your rooftop – The roof is the most vulnerable part of your home when it comes to fires. Replace wood-shake roofs with less flammable material, when possible. Keep roofs and gutters clear of needles and leaves.
• Home exterior precautions – Install screens on chimneys, stovepipes and attic openings. Trim trees that overhang the home to prevent fire in trees from easily spreading to the roof of the house. Keep flammable materials like fuel tanks at least 30 feet away from the home.
• Be accessible and visible – Make sure your house number is visible from the street. If firefighters can’t find you, they can’t help you.
• Home interior precautions – Consider installing a home sprinkler system if you live in a wildfire-prone area. Replace batteries in smoke detectors in every room of your home at least twice each year.  

To learn more about safeguarding your home and business from wildfire, The Insurance Institute for Business and Home Safety (IBHS) offers a free Wildfire Retrofit Guide for the Pacific Northwest. Also, order a free copy of NW Insurance Council’s brochure, Firestorm – Northwest Wildfires: Protect Yourself by calling (800) 664-4942 or email info@nwinsurance.org  

Parents: don’t let graduation dent your insurance; changes to coverage may be needed

 

Graduation can be both exciting and scary as high-school seniors and parents move on to a new stage of their lives. Preparing for college, finding a job and a place to live are just a few of the tasks graduates will face this summer as they ready themselves for life after high school.

 
During this hectic period, families can easily overlook needed adjustments to insurance policies that cover their young adults.
 
Often, a family might not need more coverage, just changes in the way coverage is set up. NW Insurance Council encourages teens and parents to call their insurance companies or agents to discuss their insurance needs after graduation day.
 
Here are a few scenarios that should raise a red flag for graduates and parents:

 

• A high school or college graduate permanently moves away from home. This creates a possible coverage problem for personal property, since a child must reside in the parent’s household for the child’s personal property to be covered under the parent’s policy. If the graduate permanently relocates, he or she may need an inexpensive Renters Insurance policy. If the student lives in a school dorm room, however, he and his personal property are covered under his parent’s policy.
• A high school or college graduate takes a summer job as a delivery person for a pizza parlor and uses his or her own car (or one owned by parents) to make deliveries. Because many personal automobile insurance policies exclude deliveries, this creates a coverage problem for damage caused in an accident that happens while delivering pizza.
• A high school or college graduate gets involved in a volunteer program transporting young people, the homeless or the elderly from one place to another and uses his or her own car (or one owned by the parents). The parents could be liable for injuries or property damage that occurs while their son or daughter is driving.
• A graduate gets a job and starts driving a family car much more frequently. If the car is insured through the parents, this could create a need for coverage adjustment because some policy options specify that the car will not be driven to work or will only be driven a limited number of miles per day.

 
It’s important that families check with their insurance company or agent to understand how coverage may need to be updated. A few minutes adjusting coverage can prevent long-term headaches for you and your recent graduate. For more information on insurance for graduates, contact NW Insurance Council at (800) 664-4942.