Insurance experts advise residents who lost homes, ag buildings and crops to document losses, contact insurance agents and file claims, even when in doubt.
Homeowners and farmers may have to sort through different types of insurance policies after storms and tornadoes destroyed multiple buildings and crops in southeast North Dakota.
Insurance experts say residents should document the damage as much as they can and file claims as soon as possible.
Multiple storms traveled east across southern North Dakota on June 20 before hitting northwest Minnesota on June 21. More than a week after the storms, assessors were still trying to determine the cost of the damage, North Dakota Deputy Insurance Commissioner John Arnold said Monday, June 30.
“I’ve been the deputy commissioner for a little over 5 ½ years now,” he said. “In my time with the department, this is probably the worst string of storms we have had.”
The National Weather Service has confirmed more than a dozen tornadoes touched ground in eastern North Dakota, including a mile-wide twister that hit 3 miles south of Enderlin and traveled 12 miles north. The NWS ranked the tornado, which killed three people and destroyed several homes and farm buildings, as EF3, meaning it hit winds speeds between 136 and 165 mph.
The highest rating on the Enhanced Fujita Scale, which ranks tornadoes based on wind speeds and damage, is EF5, with winds of more than 200 mph.
The Enderlin tornado initially only destroyed trees, but it intensified as it approached nearby railroad tracks, according to the Weather Service. It downed power lines, pulled trees out of the ground by their roots, derailed several train cars and devastated crops in its path.
Enderlin is about 60 miles southeast of Fargo.
A derecho system caught up to and weakened a supercell that produced the tornadoes. With wind gusts that exceeded 100 mph, the derecho caused extensive damage, particularly near Hunter and Page, North Dakota, or about 40 miles north of Enderlin.
Walt Johnson, owner and manager of Walock-Johnson Insurance Inc. in Lisbon, North Dakota, said he has fielded several crop, house and farm buildings claims due to damage from the storms. He said it’s important for people to contact their agent to get damage assessments.
“I had a customer who had canola toward Fort Ransom,” Johnson said. “You couldn’t tell that there was any crop in the field, and that was just from wind. It literally sheared it off at the ground level.”
Better safe than to have doubt
The U.S. Department of Agriculture has several programs that can help farmers who experience disaster. The USDA Risk Management Agency deals with crop insurance, which covers a portion of crop loss due to predetermined perils.
“Crop insurance and other USDA risk management options are offered to help producers manage risk because we never know what nature has in store for the future,” said Alexa Talkington, acting director of the Risk Management Agency's regional office in Billings, Montana, which includes North Dakota.
Producers with risk protection through the Federal Crop Insurance Corporation have to file a notice of loss to local USDA Farm Service Agency offices within 15 days of finding out that they lost crops, according to a news release from Talkington’s office.
More information on USDA disaster programs can be found at shorturl.at/nmKqI.
Some crops, such as soybeans, can be replanted and be eligible for crop insurance, Johnson said.
“If they contact us and they can get an adjuster to OK it, they can go back and immediately replant and not lose any coverage from the original date,” he said. “There’s some pretty strict guidelines if they replant without permission."
Replanting deadlines for other crops, like wheat, corn and canola, have expired, Johnson said. Farmers should check with insurance agents before making any decisions, he said.
Crop insurance only covers grain in the field, Johnson noted. Crops that are in grain bins would fall under farm policy insurance, which covers agricultural buildings and infrastructure, he said.
It’s better to turn in a claim and get a notice of loss rather than to leave it open to doubt, Johnson said.
“It doesn’t cost them anything to turn in a claim,” he said. “You’re always safe to turn in a claim.”
Document and beware of nefarious contractors
The North Dakota Insurance Commission has urged residents to thoroughly check their property for damage caused by the storms.
Most homeowners insurance covers hail damage, but residents should check their policies and speak with their insurance agents about their plans, especially if additions have been built onto the homes, Arnold said.
It’s important to document the damage as much as possible by taking multiple photos or videos from different angles, Arnold said. Residents should keep track of with whom they speak and document the conversations they have, he said.
Arnold also advised residents to take additional steps to stop further damage.
“If there's a hole in the roof, be sure to get that covered up so that more water doesn't leak in causing further damage,” he said.
The Insurance Commission hasn’t had reports of nefarious contractors, Arnold said. Dishonest contractors are a concern, as they often come from out of state and chase storms in order to take advantage of devastated residents, he said.
“We definitely encourage people if a deal seems too good to be true to definitely be leery about it,” he said. “We encourage consumers to get multiple quotes before settling on a contractor to do that work with.”
Residents should watch out for contractors who offer quick repairs for cash or demand full payment up front, the Insurance Commission said. Some may use high-pressure tactics or refuse to provide written estimates or proof of insurance, according to a news release.
The Insurance Commission advised getting at least three written estimates from separate contractors or working with insurance companies to hire reputable contractors.
“Definitely be on the lookout for contractors who are looking out for themselves more than the consumers,” Arnold said.
Source - https://www.inforum.com
