Extreme weather (like wildfires and hurricanes) is becoming increasingly common in many areas of the country. And if extreme weather hits your area, it can cause a lot of damage to your home, and that damage can get expensive.
While no one wants to think about their home being damaged in a fire, hurricane, or any other weather event, it’s important to take the steps to financially prepare for dealing with such events. But in reality, how financially prepared are homeowners for extreme weather?
The 2024 Extreme Weather Survey from Bankrate explored the financial readiness of homeowners in the U.S. for extreme weather. Some of the key findings include:
- Many homeowners are not financially prepared. According to the survey, more than 1 in 4 homeowners in the U.S. said they are not financially prepared for the potential costs they may incur if and when they get hit by extreme weather, with 12 percent saying they are “very unprepared.”
- Many homeowners have reviewed their coverage. If you live in an area that’s subject to extreme weather events, it’s important to review your insurance policies (including homeowners and auto) to ensure you have proper coverage. Thirty-nine percent of homeowners said they’ve done so at some point over the last 5 years.
- Not many homeowners are weather-proofing. The vast majority of homeowners have not taken any steps towards getting their home ready for extreme weather. According to the survey, only 9 percent of respondents reported investing in weather-proofing strategies over the last 5 years.
If you own a home, don’t wait for extreme weather to hit to start thinking about your home; instead, take active steps towards protecting yourself, your home, and your finances today.