This inspection is typically ordered for properties that are approximately 25 years old and older. The inspector will visit your property and inspect the following four systems of the structure: Roof, Plumbing, Electrical and HVAC. The report will provide details on the types of building materials used, the current conditions, any hazards that may need to be corrected, and the expected remaining “life” of these systems. Insurance carriers use this information to review the condition of the structure and determine underwriting eligibility.
This is the inspection that can provide valuable discounts and lower your premiums! A Windstorm Mitigation Inspection provides details on the aspects of the construction of the structure that would help minimize damage from hurricanes and windstorms. The inspector will review the exterior of the structure for storm-rated doors, storm shutters and/or windows, and their strength rating. Additionally, the inspector will need access to your attic to inspect the construction of your roof. Any credits available will be applied to your quote.
Payment for this inspection is the responsibility of the homeowner. The cost is usually under $150 for a medium-sized house. We can use this inspection to lower your premiums with every carrier out there and it’s valid for 3 or 4 years. The premium savings resulting from your inspection will most often be much more than the cost of the inspection.
Windstorm Mitigation Credits are basically discounts which lower your windstorm insurance premiums. Construction features that provide these credits if applicable to your property are:
- Opening Protection – all openings of your building have storm-rated opening protection (storm-rated windows, shutters, and storm-rated doors). This includes garage doors, front and side doors, windows, skylights, small bathroom windows, etc.
- Roof Geometry – Hip roofs receive the higher credit, as all sides of the roof are slanted upwards. Gable roofs have some sides that are flat. Flat roofs are not eligible for any credit.
- Building Code – Homes in Miami-Dade or Broward built after 1994 (with a permit date after 9/1/1994) are eligible for a building code credit. Outside of Miami-Dade and Broward counties, homes built after 2001 (with a permit date after 3/1/2002) are eligible for a credit.
- Roof Material – The type of material (shingle, tile, metal) used for the roof coverage may result in a credit.
- Roof Deck Attachment – Depending to how the roof deck is connected to the trusses of the roof, a possible credit is available. If the mitigation report shows longer nails that are closer together along the truss, a credit may be available.
- Roof-to Wall Attachment – The roof-to-wall attachment describes how the trusses of the roof are connected to the walls of the structure. The stronger the connection (single and double wraps) the higher the credit. Weaker connections such as Clips and Toe Nails may results in little to no credit.
A roof certification provides a report on the current condition of a structure’s roof when there is no proof a roof on a home 25 years or older has been replaced. The report provides an estimate of the remaining “life” of the roof, along with its current condition. This report is used to determine underwriting eligibility or can be requested by a carrier to determine if a renewal will be offered.
Section I
- Coverage A – Dwelling:
- This would cover the structure of your building. For a Condo policy, this would cover the interior walls and fixtures of your unit.
- Coverage B – Other Structures:
- This would provide coverage for permanent sheds and detached structures such as garages.
- Coverage C – Personal Property:
- This would provide coverage for your personal items in the dwelling. If you are the homeowner and the property is rented out, it will not cover the personal property of your tenants. They should carry their own Renters policy to cover their personal property.
- Coverage D – Loss of Use/Fair Rental Value:
- In the event of a covered claim, this limit is applicable for renting a temporary place while repairs are made. If you are the homeowner and the property is rented out, this would respond for loss of rents during repairs for a covered cause of loss.
Section II
- Coverage E – Personal Liability:
- This coverage responds in the event of bodily injury or property damage caused to a third-party caused by the property owner or for which the property owner is liable for.
- Coverage F – Medical Payments:
This coverage is for a third-party, no matter who is at fault, in the event of an injury at your covered location.
Liability coverage is paid to a third-party (not an insured of the policy). It can include bodily injury and/or property damage that the insured is liable for. This includes your responsibility/liability as the homeowner (or tenant if you have a Renters policy). Common claims include slip and fall and dog bite. It is important to read your policy as some claim-types may be excluded by your carrier (including animal liability).
Due to the increased exposure and average claim cost, carriers typically list a separate and often times higher deductible for Hurricane/Windstorm damage. The thought process is that the carrier wants to entice the insured to do their part to help prevent storm damage, as an insured knows that their deductible for such claims are higher.
There are three main reasons why you need to use a licensed contractor for your repairs. (1) Your insurance carrier may require proof that repairs were made by a license contractor. (2) A licensed contractor will know your municipalities building codes and permitting requirements. (3) As a consumer, you have certain protections when a licensed contractor performs your repairs. It is also recommended that you ask your contractor to provide you with a proof of their insurance prior to commencing work.
If you filed a claim with your insurance carrier and was denied due to an exclusion or the claim amount falling below your deductible, the carrier may still require you to provide proof of repairs. The fact that you are filing a claim for damage advises the carrier that damage does exist. Even if the carrier has not paid for any repairs, they require that your property be properly maintained and any damages promptly repaired by a licensed contractor.
An insurance policy is a legally binding, non-transferrable contract between the insured and the insurance company. If you are selling your property or transferring your ownership to another person/party – the policy is non-transferrable and will need to be rewritten.
There are many factors that affect rates, they include but are not limited to: prior claims, recent storms in your area/state, claims trends in your area, lack of updates to structure, a change in underwriting exposure. If you are concerned with your current rates, please give our office a call for a coverage and rate review.
In order to have Sprinkler credits applied, please provide an inspection or letter from your association stating that the building and its units are sprinklered. As for burglar and fire alarm credits – your individual unit will need to have its own monitored burglar and fire alarms in order to receive a credit. If it is, you can request an alarm certificate from your monitoring company.
Some carriers include an inflation guard for your dwelling value. What this does is increase your dwelling limit in small increments every year. This is so that your dwelling limit can be at or near Replacement Cost as the cost of building materials and construction increase yearly.
Your policy protects not just your lender, but you as well. In order to avoid having insureds underinsure their homes it is required that a home be insured at or near “Replacement Cost”. Replacement Cost is the amount that it would cost to have your home rebuilt, in the current time, with like materials. For example: If you have a masonry home with wood cabinets but carpet floor, the replacement cost wouldn’t factor in marble floors – it would factor carpeting. Carriers request that homes be insured to within 80-90% of Replacement Cost, as exact amount may be hard to determine and amounts can increase annually.
Yes, a mortgage company can require you to carry insurance but once your mortgage is paid off that decision is up to you. We always recommend you keep your policy. Your policy can respond to claims like Fire, Theft and Windstorm (if written to include those causes of loss). Are you in a financial position to pay for repair to or replacement of your home in the event of a claim? Your insurance policy can help you in the event of losses large and small.
