It isn’t often that Connecticut falls prey to a hurricane, but next time a storm hits the state, homeowners could get a break on the out-of-pocket expense they incur from storm damage.

The Hartford Courant reports that the Connecticut Insurance Department is reviewing the guidelines for hurricane deductibles. These new guidelines will prevent insurers from charging higher deductibles unless the state sustains hurricane-force winds of 74 mph or higher, according to George Bradner, director of property-casualty at the Connecticut Insurance Department.

The Insurance Department’s review began after Hurricane Irene, which toppled homes on the coast and caused significant damage throughout the state. In the wake of the storm, the department received complaints from many homeowners who were enraged by the high deductibles charged by some insurers. Insurers that do business in Connecticut are allowed to write homeowners polices that have higher deductibles for hurricanes than other types of storms, which is why some homeowners paid a higher deductible for damage caused by the Aug. 28 storm.

At the urging of Gov. Dannel Malloy and Insurance Commissioner Thomas Leonardi, numerous insurers waived the higher deductibles for damage Irene caused to coastal properties.

“We are grateful that so many companies have stepped up do the right thing and we will continue our efforts with others in the industry,” Malloy said in a press release. “Certainly, what has been accomplished so far is gaining a much-needed financial break for many, but the long-term benefits of helping individuals put their lives back together are incalculable.”

However, there were some insurance companies that chose not to reduce or waive the higher deductibles because they felt it would be unfair to customers in other parts of the country who suffered losses and paid their deductibles.

Right now, insurers can charge higher deductibles for the time the National Hurricane Center issues a hurricane warning for anywhere in the state to 24 hours after the warning ends or 24 hours after a hurricane is downgraded. If approved, the new guidelines will limit insurer’s ability to charge higher deductibles because time will no longer matter, instead wind speed will be the only determining factor when it comes to changing hurricane deductibles.

Homeowners currently pay a hurricane deductible of one to five percent of their home’s value, so the new guidelines could save them thousands of dollars if and when another storm hits the state.

Amending the state’s hurricane deductible guidelines doesn’t require a legislative vote; Commissioner Leonardi and the Insurance Department just need to approve the changes before they can take effect. However, the department says the process could take some time as it continues to discuss changes.

Hurricane season ends Nov. 30, and hopefully our state won’t fall victim to another storm this year. But if you ever have any questions about your homeowner’s policy or hurricane coverage, your independent agent at Gerardi Insurance is always happy to help.

Credit: Image is courtesy of Dan at Freedigitalphotos.net.