Several tornadoes have struck Georgia, causing significant damage in some parts of the state
Six tornadoes struck Georgia early last week, five of which hit the metro Atlanta area. These tornadoes generated thousands of homeowners insurance claims and insurance adjusters were deployed to the affected areas in order to help assess t he damage that was caused. According to Insurance Commissioner Ralph Hudgens, more than $6 million in insured losses were caused by the six tornadoes. Most of the damage caused by these disasters was to homes and vehicles.
Homeowners are being urged to familiarize themselves with their insurance policies
Recent storms have been a major problem for homeowners in the state. Severe weather has led to the state’s Department of Insurance offering advice concerning what people can do to prepare for a disaster and what they should do if their property is damaged. Homeowners have been encouraged to ensure that their insurance policies provide appropriate coverage for the risks that they face. Those affected by disasters have been advised to document all damage and get in touch with their insurance agent as soon as possible.
Damage caused by storms is still be assessed by insurers
According to Commissioner Hudgens, the damage caused by the six tornadoes may be more costly than it already is. State workers and insurance companies are still assessing the damage caused by the disasters and managing claims that they have generated. Insurers are expected to have a better understanding of the financial impact of the tornadoes within the next few weeks.
Tornadoes may have some impact on future homeowners insurance rates
The tornadoes are not expected to have any immediate impact on the cost of homeowners insurance coverage. Natural disasters typically cause insurance rates to spike, but it could take years for any significant increase in rates to be seen. Rates are increased in order to help insurance companies recover from the losses they experience in relation to natural disasters. Higher rates may be a financial burden for consumers, but insurers often have few options when it comes to recovering from significant financial losses.
