Average Insurance Payout for Hail Damage

Hail damage is unpredictable as this natural disaster can be of varying intensity. Usually, hail damages the roof. Yet, it could also do much harm to the siding and windows or doors if it falls on a slope.

In lots of cases of hail damage, a homeowner needs complex repair to the property and it is quite reasonable to claim hail damage compensation according to the homeowners insurance policy. What payout can you get in case your home has been damaged by hail? Let's consider the average rate of insurance compensations paid in these cases.

Some Statistics in Advance

In the United States, hail is one of the most destructive natural phenomena. Thousands of houses suffer from the onslaught of the elements every year. Moreover, the key states where the most powerful hailstorms and storms are recorded are Texas, Minnesota, Illinois, Missouri and Colorado. These states are characterized by the largest number of applications to insurance companies regarding compensation for damage to houses caused by hail. In general, over the past year, American insurers paid more than $2.6 million as a result of meeting such claims.

In the context of the states, most of the confirmed claims for insurance payment were recorded in Texas, where, in general, insurance companies forked out $474,600 as compensation for hail damage to houses and automobiles. The second place in the total amount of compensation belongs to Illinois. But homeowners in Colorado, where hail is no less terrible phenomenon than in the rest of the TOP-5, received the most modest amount of compensation, which constituted only $207,900.

What Kind of Hail Damage Is Compensated by Insurers?

To move on to considering average insurance payout for hail damage, it is necessary, first of all, to determine what types of hail damage are compensated for by insurance companies.

Here, an inexperienced homeowner will face many obstacles because insurance companies have decided to limit the amount of payout and the number of approved cases of hail damage due to the increased number of claims for compensation. Otherwise, this will negatively affect the financial condition of insurers.

It used to be easy to claim compensation in case of moderate damage, which did not pose a threat to the integrity of the house and its owners' life. Now insurance companies agree to pay out only in the following cases:

• The hail has damaged the roof, which has led to the violation of its integrity. If the roof requires significant repair, it is likely that you will be compensated for it, if not completely, then partially. Particular emphasis should be placed on the fact that insurance adjusters examine carefully not only the damage itself, but also the condition of the roof as a whole during the inspection. If the roof is old and has not been repaired for a long time, your claim may be denied since the insurers will consider that the cause of the damage is not the hail at all, but your carelessness.
• The hail has damaged windows or doors, has dented frames and shattered glass. Here, in general, the age and condition of windows and doors will also be assessed.
• The hail has damaged the facade siding. Similarly, you will be able to claim compensation if the siding was originally installed correctly and has been subject to technical inspection and repair.

Therefore, you should carefully weigh your chances and read the terms of the insurance policy. Often, insurance companies use very vague phrases to bargain or refuse to pay out any compensation. They justify it by the fact that you have misunderstood the terms of the hail damage included in the insurance policy.

Average Insurance Payout for Hail Damage in the US

According to the data of insurance companies for the last year, in 2020, the average insurance payout for hail damage was $12,000, taking into account the deductible taken away. Of course, we mean the compensation for hail damage to a private house or apartment. With reference to cars, the average payout is three times less.

But don't expect to receive exactly that amount when you apply for hail damage. The amount of compensation is affected by several factors at once:

• The state of residence. The payout amount is different depending on the insurance company and the state and is conditioned by the respective policies and laws.
• The type of damage also matters. Even if your insurer is loyal to you and is ready to pay compensation, this does not mean that you will receive the above mentioned average insurance payout for hail damage. For example, if the damage to your roof does not require complete replacement of the coating accompanied by dismantling the entire roof and its elements, or replacement of the rafters or ceilings, then you are unlikely to be paid a lot of money.
• Your own behavior when contacting the insurance company can also be significant. For example, if you additionally use a public adjuster's services, the chances of getting greater compensation increase. If you do not know the terms of your policy, violate the deadlines for submitting an application or fill out the documents incorrectly, you can easily get a refusal.

Therefore, the average insurance payout for hail damage should be taken into account, but you should not think that this is the final amount you will receive.