Coastal Home Insurance
What Is Coastal Home Insurance?
Homes in coastal areas require coastal home insurance instead of a regular homeowners policy. There are many factors that impact coastal home insurance that are worth consideration as you select your insurance policy.
Coastal Homeowners Insurance & Home Location
Different coastal real estate insurance policies have different requirements as far as distance from the home to an ocean, beach, or coast in order qualify as coastal coverage. These requirements may differ based on the state and zip code location of a property. Be sure to check the mileage limitations, to make sure that your home or property fits the requirements of the policy.
Verifying your insurance options prior to purchasing a coastal home can help you estimate insurance costs, and also make sure that sufficient coverage options are available in a new-build area.
Regular Homeowners Insurance vs. Beach House Insurance
Coastal home insurance is also referred to as beach house insurance. A beach house that is only used part-time, or that is used as a rental, will still require coastal home coverage.
A coastal home insurance policy will include coverage for additional risks that are unique to a coastal home, including coverage up to certain wind speeds, water damage, or related roof damages due to certain factors. Unlike a coastal homeowners insurance policy, a regular homeowners insurance policy may cover environmental or structural risks on a more limited basis. A regular homeowners insurance policy may include exceptions for coastal areas, and may not offer coverage for locations that are within a certain distance from the coast. Waterfront homeowners insurance is a different category than standard homeowners insurance.
Beach house insurance or coastal home insurance is different than flood insurance. In many cases, coastal homeowners will need to purchase a separate flood insurance policy to meet lender requirements.
Some coverage factors may also vary depending on adherence to building structural requirements. Coverage details may also vary based on factors such as how many stories is the house, does the building have structural safeguards in place to prevent wind and flood damage, etc.
Beach home insurance or coastal homeowners insurance may also have different deductibles than a regular homeowners insurance policy. If your home or real estate property is not right on the coast, but is within a coastal area, it's important to compare the benefits and limitations of coverage for different types of policies, to make sure that you have adequate coverage for the risks that you are most concerned about.
Who Is Coastal Real Estate Insurance For?
Coastal real estate insurance is for any homeowners, business owners, or owner-operators that have a coastal property location. Guardify can accommodate quote requests for both personal and commercial coastal properties. We can also help you package these policies in order to help you find custom coverage combinations that meet your goals.
Eligible classes of coastal real estate insurance may include townhomes, condos, and standalone houses. It is also important to note that rental properties may require additional hospitality or commercial-related coverages beyond the scope of a basic coastal house insurance policy.
What to Look For in a Coastal Home Insurance Policy
If you're looking for coastal homeowners insurance or beach house insurance, start with the basics. Make sure you are prepared with accurate answers to the following questions:
- Is your home a “waterfront” property? If not, how many feet or miles is it away from the coast or waterfront?
- Is your home raised off the ground?
- What materials is your home made of?
- What type of windows and roof structure does it have?
- Will your policy apply on the condition that certain storm protective measures are taken prior to a storm? Are you prepared to take those measures prior to severe weather? If the home is a part-time home, how will you take those measures if you are not on-site at the time of the severe weather warning?
- Do you have an emergency plan in place?
- What built-in features of your home or property offer special protection in the event of severe weather?
Once you have identified these details, you can start researching and comparing policies to make sure they fit the type of property and type of policy you are seeking insurance for. As always, price is an important factor - but if you choose a plan with a higher deductible or minimal coverage, make sure that you can afford to absorb uncovered losses.
Texas Coastal Home Insurance
If you're in Texas, and looking for coastal house insurance or coastal property insurance, be prepared that insurance for Gulf locations will carry a price tag. Carrier coverage options may also vary significantly from one zip code to another, and can change from year to year.
Be prepared that coastal home insurance may be more expensive than a regular homeowners policy, but finding the right insurance can help you protect your investment in the long run.
If you're buying a coastal home, make sure that the property's prior flood history has been fully disclosed, and that the building has been properly assessed for any potential damage. If the property has been impacted by severe weather, make sure that repairs have been fully executed, and don't be fooled by a cosmetic correction that masks a more serious issue. An inspection from a qualified third party should help you to diagnose potential concerns or expose discrepancies.
You may also want to consider the location of the property relative to evacuation routes, as well as any community-level plans to mitigate severe weather damages.
As a Texas-based company, Guardify is ready to help you navigate the unique challenges of the Texas insurance market to help you find the right coastal home insurance for your coastal real estate.
Looking for commercial coastal property insurance? Learn about Coastal Property Insurance for businesses.