Becoming an Adult

Is Your Home Covered For Tornadoes?

15 September 2021

Robin King

You may wonder if your homeowners insurance policy covers high wind events like tornadoes. While tornadoes can happen anywhere in the country, coverage may be limited in tornado-prone areas. If you live in an area that gets strong storms, you may have limits on related damage as well. If you wonder if you have tornado coverage, read on to learn more about how insurance covers them.

Does Homeowners Insurance Cover Tornadoes?

For most people, the answer to this question is yes. You are likely covered for property damage caused by tornadoes. Most insurance companies categorize tornado damage as wind-related. However, some companies in areas that are at a higher risk for tornadoes may have limits on what they will pay you. Plus, while your policy may cover tornado damage, it may not cover other damage caused by the same storm.

What Storm Damage Does Homeowners Insurance Cover?

Most homeowners insurance cover several kinds of storm damage. Your policy spells out your coverage. You should be covered for tornado damage to your home unless the policy specifically excludes it. Your home's contents should also have coverage. However, check your policy, as you may have a special deductible for tornadoes or wind.

When Is a Wind and Hail Rider Needed?

Some states require a special wind-related rider for high wind events. Usually, they affect people who live in a state that gets both tornadoes and hurricanes. Whether you need a wind and hail rider, often sold as a windstorm rider, depends on your existing coverage. If your insurance company excludes or limits wind and hail damage, you may need the additional coverage.

Should You Purchase Other Additional Insurance?

If you only have a standard homeowners insurance policy, you can add more coverage for special circumstances. You may also want to purchase flood damage if your home is in a low-lying area, for example. You can also buy additional coverage for hail.

Another thing you can do is change your policy from an actual cash value to a replacement cost value policy. With a replacement cost value policy, you will be fully reimbursed (minus your deductible) if a tornado severely damages your home. With actual cash value, you only get the depreciated value of the damaged items.

A tornado doesn't have to hit your home directly to cause property damage. However, make sure your policy covers as many storm-related perils as possible. Some policies put restrictions on wind-related storms or associated flooding and hail damage. If your policy doesn't have enough coverage, talk to your insurance agent about additional coverage. 

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