What Homeowners Insurance Actually Covers in a Natural Disaster

The most expensive lesson in disaster recovery is discovering — after the event — what your policy excludes. Here is a plain-English overview.

Usually covered

Standard homeowners policies (HO-3) typically cover wind damage from tornadoes, hurricanes and severe storms, fire damage including wildfire, hail, lightning, and the weight of snow and ice. Even here, details matter: many coastal policies carry separate, higher hurricane deductibles calculated as a percentage of your home's value.

Almost never covered

Flood damage requires a separate policy through the National Flood Insurance Program or a private insurer — and there is typically a 30-day waiting period before coverage begins. Earthquake damage also requires separate coverage or an endorsement. Landslides and mudflows fall into a gap: usually excluded from homeowners, flood and earthquake policies alike, requiring specialized "difference in conditions" coverage.

Questions to ask your agent

• What is my wind/hurricane deductible, and is it a flat amount or a percentage?
• Do I have enough dwelling coverage to rebuild at today's construction costs?
• Is water backup (sewer/sump) included or available as an endorsement?
• Does my state's FAIR plan apply if private insurers won't cover my area?

Check your state's hazard profile on this site, then review your policy against the top two or three risks. That one-hour exercise can be worth tens of thousands of dollars.