Insurers respond swiftly after devastating tornadoes hit multiple states

Insurers respond swiftly after devastating tornadoes hit multiple states

Banking & Financial Services
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Sean Kevelighan, President and Chief Executive Officer and Michael Barry, Chief Communications Officer of III. | https://www.iii.org/about-us/the-team

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U.S. property, auto, and business insurers are responding to a recent outbreak of tornadoes that have caused significant damage across multiple states. The Insurance Information Institute (Triple-I) reports that these insurers are acting as "financial first responders," with rapid response teams already deployed in the most affected areas to assist policyholders in filing claims and starting their recovery process.

Sean Kevelighan, CEO of Triple-I, stated, “Property/casualty insurers are the nation’s financial first responders and many already have rapid response teams on the ground in the hardest-hit areas to help policyholders file claims and begin a speedy recovery process.” He also emphasized that “contacting an insurance professional is a best first step for policyholders to get their recovery process underway.”

The property damage from these tornadoes is covered under standard homeowners, condo, renters, and business insurance policies. The comprehensive portion of an auto insurance policy also covers such damage. In 2024 alone, U.S. insurers paid nearly $54 billion in severe convective storm claims, which include damages from tornadoes.

For those affected by tornado-caused property damage, Triple-I recommends several steps: contacting an insurance professional immediately to start the claims process, documenting damage through photographs, making temporary repairs if necessary (with costs potentially reimbursable), compiling a detailed list of damaged items without discarding them until meeting with an adjuster, and delaying repair contracts until consulting with an insurance adjuster.

Small business owners are advised to follow similar procedures when filing property damage claims. If businesses must close temporarily or relocate due to physical damage from a tornado, they should file either a business interruption or extra expense claim if covered. It is important for business owners to document net income and operating expenses before and after disruption and maintain detailed records as they recover.

The Insurance Information Institute has been providing data-driven insights since 1960. As part of The Institutes affiliate network, it represents nearly half of all U.S. property/casualty premiums written.

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