ÐÓ°ÉÔ­´´

EN ESPAÑOL

NEW YORK, April 1, 2004 - Spring thankfully brings warmer weather, but along with it comes tornadoes, floods, hail storms and the start of hurricane season.

Now is a good time to review your insurance policy to make sure that your property and belongings are adequately insured from the natural disasters that inevitably accompany spring weather, the ÐÓ°ÉÔ­´´ Information Institute (I.I.I.) advises.

Last year, insurers paid out nearly $13 billion to help victims of natural disasters in 39 states rebuild their homes and businesses, according to ÐÓ°ÉÔ­´´ Services Office, Inc. (ISO).

Homeowners ÐÓ°ÉÔ­´´:

Standard homeowners insurance policies cover damage from most natural disasters such as windstorms, hurricanes, tornadoes, lightening and hail, in addition to fire and other perils.

Keep in mind that homeowners policies do not cover damage from two major types of natural disasters: flood and earthquake. Separate policies must be purchased for these events.

Homeowners insurance covers damage to both the structure of the home and personal belongings. These policies also pay the cost of additional living expenses if you cant live in your home or apartment due to an insured disaster.

There is also coverage for property damage and additional living expenses under renters, condo/co-op and mobile home policies.

To ensure adequate coverage, review your current policy with your insurance agent or company representative. Make sure you take into account any remodeling or new additions to your home as well as rising construction costs.

It's also a good idea to take a home inventory of personal items you own such as furniture, clothing, electronic equipment and jewelry. A home inventory helps you determine the correct amount of insurance you need and helps settle an insurance claim faster and verify un-reimbursed losses for your income tax return.

Flood ÐÓ°ÉÔ­´´:

Do you need flood insurance? Ask your insurance professional or lending institution about the flood history in your area. Usually your lending institution will review the NFIP maps to determine if the property is located in a Special Flood Hazard Area and will advise you if you need to get coverage. If the risk exists, the same agent/broker or company representative that handles your homeowners or renters insurance can also sell you flood insurance.

If you dont live in a flood-prone area, you may still consider flood insurance to protect your home against melting snow, an overflowing creek, or water running down a steep hill. You may also want to consider sewer back-up coverage to protect you if flood waters enter the sewer system, back up and enter your home.

Flood insurance covers direct physical losses by flood and losses resulting from flood-related erosion caused by waves or currents of water exceeding anticipated cyclical levels and accompanying a severe storm, flash flood, abnormal tide surge or a similar situation which results in flooding. Mudflows (which occur when water rapidly accumulates in the ground, such as during heavy rainfall or rapid snowmelt) are covered under the National Flood ÐÓ°ÉÔ­´´ Program; however, landslides are not.

Coverage for the structure and contents of the home are sold separately. Buildings and structures are covered for replacement cost but content coverage is available on an actual cash value basis only. There may also be limits on coverage for furniture and other possessions stored in your basement.

If your home is at risk, buy flood insurance now; there is a 30-day waiting period before coverage takes effect. The policy is provided by the Federal Flood ÐÓ°ÉÔ­´´ Program and is only available where the local government has adopted adequate flood plain management regulations.

Consumers can get more information about insurance coverage for disasters by accessing I.I.I.'s Web site at . Consumers can get flood map information or cost, coverage or policy information from the National Flood ÐÓ°ÉÔ­´´ Program at .

The ÐÓ°ÉÔ­´´ Information Institute is a non-profit, fact-finding communications organization supported by the property/casualty insurance industry.