The cost of full coverage insurance in Dallas could be on the rise soon due to the catastrophic damage from Hurricane Laura.
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The cost of full coverage insurance in Dallas could be on the rise soon. Hurricane Laura has caused catastrophic damage in Texas and Louisiana. Insurance companies are bracing for many claims to be turned in over the coming weeks. Natural disasters are one of the biggest reasons why insurance companies have to raise prices on auto insurance. Tornadoes, hailstorms, and hurricanes are the most common of cat losses that occur in Texas. When auto insurance companies have to pay out many claims that can have a major effect on monthly prices that are charged for consumers. 2020 has been a very profitable year for many insurance companies due to people not driving as much with COVID lockdowns. But natural disasters can change that very quickly and cause prices to start to increase. Not only auto insurance companies get hit hard when a natural disaster occurs, but also homeowner insurance companies do also. The severe winds can do damage to homes and especially, roofs. One thing for consumers to be aware of is their hail and wind on their homeowners' insurance policy because some insurance companies will stick a 1% wind and hail deductible. This is important because if you have a high-value home, the amount of money you pay out of pocket can be quite large.
Business insurance is another segment that can be affected during a hurricane. Most insurance companies will cover wind damage done to businesses they insure, but flood damage is almost always excluded from the policy. Understanding your auto insurance is important. During the case of a natural disaster like a Hurricane Laura, for instance, the wind damage to your car is covered under your comprehensive deductible if you have full coverage insurance. If you have liability only auto insurance, then any damage a hurricane causes to your vehicle is not covered. Full coverage insurance is quite a bit higher than liability only auto insurance, but when a natural disaster happens, you'll be glad you pay the extra premium. Cheapest Auto Insurance can provide you with quotes for full coverage insurance in Dallas or liability auto insurance at an affordable price. Click the link to receive a free anonymous quote.
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