HURRICANES & FLOODS
Hurricanes And
Floods:
What You Should Know
T
he hurricane season in
Hawaii officially starts
on June 1st and ends on
November 30th each year.
Although deadly storms
have been recorded making landfall
outside of the season, historically all
named hurricanes have fallen within this
period.
Hurricanes are declared a “hurricane”
and given a name only by the National
Weather Service, and unfortunately,
damages resulting from the hurricane
are excluded from most homeowner’s
insurance policies. You can, however,
purchase coverage through a separate
hurricane insurance policy or as an
additional coverage on their homeowner’s
policy.
Although Hawaii is considered a low
risk for hurricanes compared with many
other coastal U.S. states, your mortgage
company will require you to obtain
coverage to protect their interest in your
property. For homeowners whose homes
are owned outright, insurance coverage is
optional but certainly recommended. For
example, Hurricane Iniki which affected
Hawaii in 1992, caused over $1.6 billion
in damages which translates to over $3
billion in today’s dollars.
Iniki, a category four hurricane, caused
major damage to Kauai and areas of
Oahu with 160 mph winds and was
responsible for six fatalities.
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FLOODS IN HAWAII
A flood is defined as a general and
temporary condition where two or
more acres of normally dry land, or 2
or more properties, are inundated by
water or mudflow. Since a flood can
happen anywhere, every building is in
a flood zone. Although properties in
Zone X represent a low to moderate risk
for flooding, more than 20 percent of
flood insurance claims and more than
one-third of Federal Disaster Assistance
dollars were paid for flood damage in this
flood zone.
Although hurricane risks in Hawaii are
moderate to low, the state has had its
fair share of damage due to flooding.
Whenever there is heavy rain activity,
parts of the island are susceptible to flash
floods. Heavy rain activity can turn a
small river into a raging one that sweeps
away everything in its path.
In March of 2006, a six-week long rainy
period resulted in flooding in several
places. On Kauai, a flash flood caused a
dam to break and killed seven people.
Also, on Oahu, heavy rain caused the
Waikiki sewer system to fail and overflow,
resulting in an enormous spill of sewage
that polluted the island’s south shore for
several days.
HAWAII FLOOD INSURANCE
The good news is that those in flood
zone X can purchase a preferred risk
BY: KIMBERLY LI
ATLAS INSURANCE
flood policy for $450 per year. The policy
provides $250,000 in dwelling/building
coverage and $100,000 in contents
coverage. This is a very reasonable
amount to pay for this valuable
protection from flood damage.
It’s important to note that damage to
your home and contents is excluded in
a traditional homeowners policy. It’s
also important to note that unless your
mortgage company is requiring a flood
policy at closing, there is a thirty day
waiting period before coverage will go
into effect.
Knowing that the risk of flooding in
Hawaii is very high and that all homes
are located in a flood zone, it makes
perfect financial sense to get your flood
policy in place before a flood causes
damage to your most valuable asset and
your personal belongings inside. +
Kimberly Li is a Senior Sales Account
Manager in the Personal Lines Unit at
Atlas Insurance Agency. She has over
6 years of experience in the insurance
industry. Kimberly works with a large
number of private clients, lenders, and
realtors, where she provides consulting
and placement services. Her experience
and knowledge has resulted in being the
Top Sales Performer for 2016.