The answer is that it depends on the terms of your policy. It is a good idea to read your homeowners policy, or talk with your insurer or insurance producer (agent or broker) to find out what the policy specifically covers and doesn’t cover. It can also be helpful to know what the policy deductible is, and any dollar limits on the amount of damage the policy will cover.
Although the terms of your actual policy will determine if the damage you have incurred is covered, in general, many homeowners policies will provide coverage for damage to your home and the contents of your home if a tree (even if it is your neighbor’s tree) falls on your home or other insured structure, such as a fence or a detached garage.
Will my insurer pay for a place to live if my home is damaged by a storm?
Most homeowners and renters insurance policies provide coverage for "additional living expenses" or "loss of use" costs that arise from a covered loss. This coverage is usually called "ALE."
If your home becomes uninhabitable because of damage from a covered loss and you have ALE coverage under your policy, then your insurer will reimburse you for certain additional living expenses incurred during the time that you cannot live in your home. For example, if a tree falls and damages your home so severely that you cannot remain there, and if that loss is covered under your policy and you have ALE coverage, then your insurer will pay for certain additional living expenses.
The terms of your policy will specify which types of additional living expenses will be paid, any deductible that must be met, and the maximum dollar amount of coverage. Generally, additional living expenses can include payment for an apartment or a hotel room, and the additional expenses you incur for everyday needs such as food. For example, if you usually spend $500 a month for food but now you must pay $750 a month because you have to go out to eat, your insurer may pay $250 for the additional cost of food. Your normal expenses, such as your mortgage payment, gas and electric and water bills, would not be covered by ALE coverage and remain your responsibility. Before paying ALE, your insurer likely will require documentation of both your normal living expenses and your additional living expenses; therefore, it is important to maintain records and keep receipts for all of your expenses while you are away from your home.
What is my insurer required to cover if my siding is damaged by hail or wind?
The answer to this question depends upon the language of your policy. The first thing you must determine is whether your policy covers the event that caused the damage. Damage caused by wind or hail generally is covered by most "named peril" policies or “all risk” policies. Named peril policies may provide for payment on a replacement cost or actual cash value (depreciated) basis. All risk policies generally cover all causes of loss, unless otherwise excluded, on a replacement cost basis. Your policy will specify what perils are covered and the basis of payment, but if you have questions about the policy, you should ask your insurer or insurance producer.
Under most policies, the insurer is required to pay for the direct physical loss caused by the covered peril. This means that if hail damages only one side of your home, then your insurer is only responsible for the repair or replacement of siding on that damaged side. If the policy provides for replacement cost, it generally will pay the lesser of the cost to repair the damaged material or to replace it. So what happens if the siding does not match the existing siding in color due to the age of the material, or the fact that the original siding is no longer available from the manufacturer? You will need to look at your policy to see what it provides in the case of a mismatch. Many policies contain exclusions for mismatches that occur when the damaged material is replaced with new material. If the policy does not contain an exclusion for “mismatches”, and it provides replacement cost coverage, the insurer may have to pay additional amounts when settling the claim. For example, the insurer may be required to offer an appearance allowance if the insured can demonstrate that the mismatch will negatively impact the value of the home. For additional information regarding the insurer’s obligations under replacement cost homeowners policies contact your insurance producer or insurer . You may also want to ask your insurer or insurance producer if you can purchase an endorsement to provide coverage for losses resulting from mismatches for an additional premium.
Does homeowners insurance pay for the replacement of your roof?
Whether your policy will pay for a replacement roof will depend upon many factors, including the terms of your homeowners insurance policy, the extent of damage, and if the damage was caused by a covered event. Homeowners policies typically cover losses that are sudden and accidental, and caused by specific perils such as fire, wind, hail, and the weight of ice or snow. Policies usually exclude coverage for losses caused by certain perils like flood or earthquake. Homeowners policies also do not provide coverage for "maintenance.” Therefore, repairing damage due to wear and tear or deterioration of your roof over time generally will not be paid for by the insurer. Additionally, if a covered peril, such as hail for example, damages a roof that is already in need of maintenance due to wear and tear or deterioration, your insurance policy may not cover all or part of your claim. Likewise, if only a portion of the roof is damaged, your insurance policy may cover the repair of the damaged portion only. You should read your policy to better understand what types of losses are covered and which ones are excluded.
If your policy provides coverage for the replacement roof, the amount your insurer will pay depends upon the terms of the policy, the coverage limits of your policy and your deductible. Detailed information about how your claim will be settled can be found in the “loss settlement method” section of your policy.
You may also want to read our Consumer Advisory on "Free Roof Offers."
Should I hire a public adjuster?
You can hire a public adjuster to help you settle your first party claim with your insurer. A public adjuster is an insurance claims adjuster who, for a fee, acts as an advocate for the policyholder in appraising and negotiating a first party property insurance claim under a homeowners policy. whether you should hire a public adjuster, take a look at our Consumer Advisory.
