This year’s storm season has begun. What can we expect from June 1st through November 30th? NOAA (National Oceanic and Atmospheric Administration) predicts an average hurricane season this year, with a range of 12 to 17 total named storms, five to nine potential hurricanes, and one to four that develop into major hurricanes.
Especially for properties along the east and gulf coasts, how do you prepare for the next six months of heightened hurricane potential? If you’re a mortgage servicer, are you confident that your loan collaterals have the right kind and amount of insurance? Now’s a good time to check for any exposures.
Ask yourself:
• How do you monitor wind and flood insurance coverage?
• At any given time, do you know if any of your loans lack insurance?
• For uninsured or underinsured loans, can you obtain immediate coverage?
You may also want to let your borrowers know of their windstorm or flood risk so they can prepare well by obtaining adequate insurance coverage. History reminds us that a major storm or hurricane can result in catastrophic property and financial loss to uninsured or underinsured homeowners and mortgage servicers.
Each year, the National Hurricane Center (NHC) and Federal Emergency Management Agency (FEMA) strongly urge citizens to prepare and access helpful resources such as Ready.gov and Listo.gov, particularly if their properties are prone to coastal and inland flooding. Let’s learn from the past to best prepare for the future. As the saying goes, “sunny days give us happiness; stormy days give us wisdom.”
If you would like to learn more about storm and flood risks and the available solutions to manage such risks, please contact your Tokio Marine Highland representative or Sheri Kordsmeier, SVP National Sales at (404) 514-9458 or sheri.kordsmeier@tmhighland.com. You may also visit us at tokiomarinehighland.com.