Hayden Ward

Most At Risk States for Natural Disasters

States most at risk for natural disasters 2020

Fall not only offers some of the best outdoor weather, but it can also call for extreme weather concoctions - hurricane season colliding with wildfire threats. This lethal mixture makes it very difficult to plan when the next natural disaster may strike. 

With a recent study from ValuePenguin, we now know where these disasters may be heading and how to prepare for them. Geography and geology can determine if your home is at greater risk for hurricanes, tornadoes, earthquakes, or flooding. According to the study, 10 states in America are going to be left paying for more than 80% of the cost of natural disasters. This leaves the hardest hit states with a financial blow that has cost residents an average of $1,478 per household over the last five years. CNBC reports that at least seven natural disasters in U.S. history have caused upwards of $10 million dollars in insured losses. 

It’s important to know if your property is located in the states with the highest risk and determine the best coverage to meet the needs of an unforeseen natural disaster. 

States most at risk for a natural disaster in 2020:

states most at risk for natural disasters

1. Texas

With the lengthy Gulf Coast and vulnerability to hurricanes, Texas is expected to have the highest risk of natural disaster for 2020. Texas homes are projected to have $1,476 in annual property damage cost per household this year alone. Texas is at risk for wildfires, hurricanes, tornadoes, landslides, and floods. This state has on average 900 wildfires per year and is considered the second highest state prone to wildfires. August and September are the prime months for tropical storms that pack in destructive hurricanes. Texas has also experienced mild hurricanes and tornadoes in the northern part of the state.

2. Louisiana

Similar to Texas, Louisiana is also located on the Gulf coastline making them prone to heavy rainfalls and hurricanes. With most of their major cities located along the Mississippi River, they are subject to more flooding than others. Louisiana is rated second on the natural disaster list. The infamous hurricane Katrina caused $41.1 billion insured losses. In 2020, Hurricane Laura struck the state with 150 mph winds and thousands without electricity. The National Weather service reported near record levels of atmospheric moisture. The state has been on an upward trend of rainfall for the last two decades. With that being said, coverage for properties in these areas is an important peace of mind not knowing when Mother Nature will strike. 

3. Florida

Having the largest coastline in America and located near the Caribbean seas, it is no surprise Florida is expected to be one of the states most at risk for a natural disaster. Florida is near sea level so floods are a very common problem. Hurricanes come with heavy rain where drainage systems cannot keep up.  

Although these storms come out of nowhere, it is always smart to have a contingency plan for when disaster strikes. Click here to read our blog post on how to create one.

4. California

Wildfires raging in California every year have caused a projected $4.14 billion in property damage, meaning $319 to each household. In 2020 alone, they have had 3,180 structures damaged or destroyed in the fires. They also incurred around 16 FEMA declared disasters from 2014-2018.

With wildfire season beginning to blaze, it is wise to have special precautions and plans set in place. If guests are staying at your property during the time of one, make sure your guests are well aware of the fire safety plans you have in place. Check out our blog post on wildfire planning here

5. Colorado

Many different weather patterns cross over Colorado making them susceptible to disastrous storms. With snowstorms, ice storms, hail, tornadoes and wildfires, vacation rental property owners need to have a plan in place to protect their homes and guests from these natural disasters.

6. North Carolina

North Carolina has one of the costliest coastlines in the United States. Hurricanes and storm surges power through the state, landing it at number six on the list for natural disasters. 

7. Michigan 

Threats of wildfires, earthquakes, tornadoes, blizzards and extreme heat make natural disasters prominent in this midwestern state. It is known for sudden changes in weather and elements that carry destructive power.

8. New Mexico

New Mexico commonly battles two different types of natural disasters - wildfires and flooding. Being considered a desert state, anytime there is prolonged drought conditions, the possibility of raging wildfires increases. Located on the coastline also makes them susceptible to the mega-storms that barrel through states like Texas and Florida.

9. Nebraska

Referred to as the Land of Corn, Nebraska receives its fair amount of natural disasters. Between extreme amounts of flooding, tornadoes, and blizzards, this state always has surprises with its weather. 

10. Georgia

Last but not least, Georgia is at high risk for natural disasters. This state commonly receives severe thunderstorms, flooding, and the major hazards associated with tropical storms and hurricanes. 

Be Ready For Anything

Even if your vacation rental is not located in these 10 states, it is critical to have an action plan in the likelihood disaster strikes. The cost of not being adequately insured for a natural disaster leaves your property at great risk and may cost you much more in the long run. 

Your property is one of your largest assets. Don’t carry the weight of the unknown. Let us help you protect your business and mitigate potential risk. Speak with a CBIZ Vacation Rental Insurance expert today or begin your free quote.

This blog may contain scenarios that are provided as examples only. In an actual claim situation, coverage is subject to the terms, conditions and exclusions of the policy issued. The information provided is general in nature and may be affected by changes in law or the interpretation of such laws. The reader is advised to contact a professional prior to taking any action based upon this information.

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CBIZ Vacation Rental Insurance, a division of CBIZ Insurance Services,Inc., is the largest insurer of short-term vacation rental properties in the United States. As part of an $850 million New York Stock Exchange traded company (CBZ), we are the first broker to develop specific policy coverage to meet the needs for vacation rental properties and the amenities offered by these businesses. We have insured vacation rental properties since 2002.

The CBIZ Vacation Rental Insurance team knows insurance, specifically the risks and exposures related to short-term vacation rentals.We won't confuse you with technical "insurance speak" ~ our representatives are well versed in explaining your coverage in plain English. With hands-on, personal customer service, we guarantee swift communication and a 24/7 claims team that is ready to respond to your call any time of the day. As specialist in the industry, we leverage our knowledge and passion to ensure you and your business are adequately protected.