Hurricane Sandy creates Vacant Home Insurance claims in NJ

During Hurricane Sandy, many people found out if they had superior vacant home insurance coverage or inferior vacant homeowners insurance protection which is very common in the market.

We estimate that in most U.S. states, most policies for vacant home insurance are not all-risk insurance policies, but rather are called dwelling policies. A dwelling policy is a limited form of insurance covering only a select number of insurance perils. Some policies are fire only which is about as limited as it gets.

Getting all risk insurance on a home that is vacant or not occupied most of the year is harder to secure, but it is possible through good insurance companies.  Again, many after Hurricane Sandy are finding out just how bad their policies were.

One note, no vacant home policy, even of the highest quality, comes with flood insurance. No "regular" homeowners policy comes with flood insurance as standard so unless someone had taken out insurance from the Federal Gov't Flood Insurance Program, there would have been no coverage for storm surge flooding as well as other types of flooding in the case of Hurricane Sandy.