The State of Hurricane Ian Insurance Claims

Hurricane Ian brought widespread devastation to Florida, prompting a surge in insurance claims. However, data from the Florida Office of Insurance Regulation (FLOIR) reveals a concerning reality: a significant portion of these claims were denied. Specifically, 28.3% of residential and 30.6% of commercial claims were fully denied, leaving many policyholders without the compensation they needed to recover.

The Scale of Denials and Underpayments

These Hurricane Ian claim denial rates indicate that over one in four policyholders received no payment for their claims, not even partial settlements. This situation highlights critical issues within the insurance claim process, especially in high-impact areas such as Lee and Charlotte counties, where the denial rates were particularly high. The statistics underscore a broader challenge in ensuring that policyholders receive fair and timely settlements.

Lines of Business	Claims Reported	Open Claims with Payment	Open Claims without Payment	Claims Closed with Payment	Claims Closed without Payment	Percent of Claims Closed
Residential Property	558,299	24,180	13,369	362,626	158,124	93.3%
Homeowners	454,072	20,259	11,463	286,786	135,564	93.0%
Dwelling	57,451	2,950	1,672	37,912	14,917	92.0%
Mobile Homeowners	42,861	491	87	35,839	6,444	98.7%
Commercial Residential	3,915	480	147	2,089	1,199	84.0%
Commercial Property	33,010	4,508	4,383	11,363	12,756	73.1%
Private Flood	5,645	378	85	3,705	1,477	91.8%
Business Interruption	582	25	21	411	125	92.1%
Other	179,405	1,097	998	151,764	25,546	98.8%
TOTALS	776,941	30,188	18,856	529,869	198,028	93.7%

Data collected by the Florida Office of Insurance Regulation as of April 22, 2024

Why Are So Many Claims Denied?

Several factors contribute to the high rate of claim denials. According to industry reports and expert analyses, common reasons include:

Insufficient Documentation

Often, claims are denied due to inadequate documentation. Policyholders must provide comprehensive evidence of their losses, including photographs, receipts, and detailed descriptions. Without this, insurers may find grounds to deny a claim.

Policy Exclusions

Many insurance policies contain specific exclusions that are not always clearly understood by policyholders. These exclusions can cover a range of situations, from particular types of damage to specific causes of loss, and can lead to unexpected denials.

Misinterpretation of Policy Terms

Misinterpretation or misunderstandings about policy coverage can also result in claim denials. Both insurers and policyholders may have different interpretations of what the policy covers, which can lead to disputes.

The Importance of Claim Reviews

Given these high denial rates, it is crucial for policyholders to seek a professional claim review. This process can identify potential underpayments or improper denials, allowing policyholders to receive the compensation they’re owed according to their policy. The FLOIR encourages policyholders facing issues with their claims to report them and seek assistance. Professional reviews by trained adjusters, like those at Premier Claims, can help navigate the complexities of insurance policies and advocate for a fair settlement.

Taking Action

The data above clearly shows a significant number of claims from Hurricane Ian were denied or remain unresolved to this day. Affected policyholders need to act proactively. By seeking a professional claim review, you can set yourself up for success to help rectify your losses.

If you experienced a Hurricane Ian claim denial or you suspect it was underpaid, consider getting a thorough claim review. Contact Premier Claims today to learn more.

The post-recovery after a hurricane can be a challenging and stressful experience. Understanding damage assessment, contacts, and expectations post-hurricane as a local resident can ease recovery burdens significantly.

Assessing Hurricane Damage & Mitigation

Prior to the storm, we recommend following a detailed checklist, having your property inspected, and accurately documenting the current condition of the property. (Read Prepare before the storm, Review Your Policy, Tips & Dangers or Mitigation for more information)

After the storm has passed, your responsibility as a policyholder will be to assess the damages to your property and mitigate further damage. We recommend inspecting the exterior of your property looking for any broken or loose materials. In addition, inspect the interior of your property for water leakage or pooling water. Early connection, detailed documentation of damage, and mitigation strategies are vital for your insurance claim process.

Important Contacts After the Hurricane

In regards to property damage after a hurricane, there is a significant need for mitigation professionals, inspectors, and contractors in the community. Insurance carriers will also experience an increase in call volume and claims coming in from the community. Prior to the storm, we advise having a list of important contact information including your insurance carrier, mitigation companies, contractors, government authorities, medical assistance during a disaster, and your local Red Cross.

Our team is readily available during a hurricane. In the aftermath of the storm, we take over the communication, scheduling, and coordination with your insurance carrier, inspectors, mitigation companies, and contractors. We take the burden of handling the devastating damage from the hurricane so you can have a full focus on your family, health & safety following the storm.

What to Expect as a Resident

As a resident, you can expect the recovery process to take time. The immediate aftermath of a hurricane can be chaotic and challenging, often requiring a great deal of patience and persistence. Communities will come together to overcome the struggles of power outages, limited access to food and water, as well as the extensive damage to homes, businesses, and natural resources.

Keep informed about the latest updates and instructions from location authorities to help you navigate the recovery process. The days and weeks following a hurricane may result in delays of power recovery and availability of essential services. It’s important to be prepared to live without essential services for a period of time, and to come together as a community to support one another as you navigate the recovery from the hurricane’s impact.

Being Hurricane Preparedness Week and with hurricane season quickly approaching, it is important you and your family are prepared by planning ahead. To prepare before the storm, we suggest focusing on four areas: Hurricane information & evacuation plan, strengthening your home & business, updating & reviewing your insurance policy, and stocking your supplies.

Hurricane Information & Evacuation Plan

If you live in a hurricane prone area, it is critical that you have a list of ways you can get trusted hurricane information readily available. We suggest bookmarking National Weather Service, Ready and national news outlets on your mobile devices for immediate access to information. In addition, social media can be a great source of real time updates — Join the latest Facebook group for the named Hurricane to receive multiple updates from various sources.

For your safety, planning a general evacuation plan and knowing alternative routes can save you time and stress when a hurricane strikes. When a hurricane is approaching, make sure you communicate your evacuation plan with someone else outside of the storm’s path.

Corner business with windows boarded up

Strengthen Your Home & Business

Take a walk around your home and your business and look at areas that may be vulnerable in the event of a hurricane. Trimming trees regularly can help prevent excessive broken branches that can cause damage. Minimizing the number of outside loose items, such as patio furniture & recreational equipment, will reduce the amount of time you need to properly secure the items prior to the storm hitting. In advance, we recommend having the necessary materials to board up any windows to protect them from flying debris.

If you have not had your roof or property inspected in the past 12 months, we recommend having a contractor or public adjuster confirm the structural integrity of your roof and home. The inspection will include photos and documentation of the current condition of your home. Should your home experience damage during a hurricane, the inspection documentation will be crucial evidence in getting your home back to its prior condition. We offer free home inspections — Give us a call today to schedule!

Update & Review Your Insurance Policy

We recommend having your insurance policy reviewed by a third party for a detailed review of coverage. Flooding is the leading cause of damage from hurricanes and many policyholders in hurricane prone areas are not required to have this coverage. In addition, your insurance policy may outline specific preparation steps that are required in order to ensure damages are covered. Our team of legal experts provide free policy reviews and will outline any gaps in your current coverage, and what steps must be taken prior to the storm hitting per your policy. If you’d like to have your policy reviewed — Contact us or send your policy to info@premier-claims.com.

Prepare before the storm Hurricane Preparation Checklist

Stock Your Supplies

Waiting until the hurricane is announced to stock your supplies could put you at risk of being unable to obtain the emergency supplies you need. According to Chuck Duncan, a Florida Ace Hardware employee in a local interview with CBS 4 News, says it is normal for residents to wait until the announcement before they head to the stores for supplies: “Usually within a few days after it comes out that it [the hurricane] is coming this way, they start coming in.”

During and after a hurricane, you may need supplies to keep your family safe and healthy. However, once a hurricane is announced, there is a mass surge of people going to stores and supplies are limited. We recommend gathering supplies early in the season in May or June prior to a potential hurricane hitting land. You can be prepared by including the following:

Emergency supply of food & water
Emergency first aid kit & medicine supply
Emergency power sources, such as flashlights, batteries, charges, etc.
Safety & personal items
Important documents, such as medical documents, passports, policy documents, etc.
Tools & equipment for safety, such as fire extinguisher, pocket knife, etc.

For a full list of items you may need, you can find a checklist here: Download Checklist

Hurricanes are costly and can cause damage hundreds of miles from the shore. Being prepared ahead of time can be critical for your safety and recovery after the hurricane. Continue to follow us this week for more information and resources to prepare for this upcoming hurricane season!

Additional Resources

Florida Disaster
CDC Preparing for a Hurricane
National Weather Service Hurricane Plan

Hurricane Ian Claim Denials: Has Your Claim Been Reviewed?