Many Homeowners Are Underinsured And Don't Know It

August 16, 2004 -- Posted at 6:00 CDT

JONESBORO --< /STRONG> Hurricanes may not be part of the regular weather pattern here in Region 8 but we do get our fair share of wild weather. Three years ago Federal Emergency Management Agency came to Region 8 to assess and assist after heavy rains caused widespread flooding across the area. Flooding of that nature may not occur very often but, there are other more common whether threats. "We primarily receive damage from thunderstorms and straight line winds. It's similar to what they got with Hurricane Charlie but it's not in such a widespread an area," said Jack Richardson with Craighead County Office of Emergency Management. But you never know which area Mother Nature will pick to reek havoc. If you play Russian roulette with your insurance it could kill your finances.

Shelter Insurance agent Bobby Hahn says,"People tend to think that their insurance coverage should be equal to the house's market value. When you build a home it's generally cheaper than re-building a home because when you re-build a home you've got to tear down and debris removal,"said Haun. Those services can cost thousands and that doesn't even include construction cost. If you add additional square footage to your home it too will affect the price of rebuilding after a disaster. These are a few reason's why Haun says visiting your insurance agent once a year is a wise investment of your time. If you don't completely understand insurance policies it's okay, you're not alone. "Consider the things that are most valuable to youn and ask questions and that'll open up another question," said Haun. If you make annual visits you'll find comfort in your coverage and no matter what kind of mood Mother Nature's in, she won't leave you high and dry.