from Florida Realtors
Most Florida insurance policies switch gears when damage is inflicted by a hurricane rather than other problems.
However, the definition of a hurricane is outlined in Florida law and, since Tropical Storm Isaac was not declared a hurricane until Tuesday, August 28, at 11:20 a.m., property insurance policies should not use the unique hurricane standards against any homeowner who puts in a claim for storm damages.
In most cases, that means homeowners will pay a smaller deductible; in some cases, it’s a much lower deductible.
Kevin McCarty, commissioner of the Florida Office of Insurance Regulation, sent a memo to insurers on Aug. 30. He reminded them that the law defines windstorm damage as “wind, wind gusts, hail, rain, tornadoes, or cyclones caused by or resulting from a hurricane which results in direct physical loss or damage to property.”
For most Florida homeowners – except possibly for those in the western Panhandle – Tropical Storm Isaac damage occurred before the storm became an official hurricane.
“For these property losses, all insurers must apply the deductible that is unrelated to hurricane, generally referred to as the ‘all other perils deductible’ or ‘other than hurricane deductible,” McCarty said in a memorandum. “An insurer that fails to apply the appropriate deductible is subject to administrative action.”