{"id":4164,"date":"2024-11-07T14:22:00","date_gmt":"2024-11-07T19:22:00","guid":{"rendered":"https:\/\/tomo.com\/blog\/?p=4164"},"modified":"2025-02-10T11:57:34","modified_gmt":"2025-02-10T16:57:34","slug":"what-is-hazard-insurance","status":"publish","type":"post","link":"https:\/\/tomo.com\/blog\/what-is-hazard-insurance\/","title":{"rendered":"What is hazard insurance?"},"content":{"rendered":"\n<p class=\"has-small-font-size\">Wondering what hazard insurance is? It\u2019s the part of your <a href=\"https:\/\/tomo.com\/blog\/what-is-pmi\/\" title=\"homeowners insurance\">homeowners insurance<\/a> that protects your home from disasters like fire, storms, and theft. Basically, it\u2019s the safety net for big, unexpected events. Usually, hazard insurance is bundled into your homeowners insurance, but let\u2019s break down the details.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Hazard insurance vs. homeowners insurance\u2014what\u2019s the difference?<\/h3>\n\n\n\n<p><\/p>\n\n\n\n<p>Hazard insurance and homeowners insurance are closely related, but not quite the same thing. Hazard insurance covers the physical structure of your home if it&#8217;s damaged by disasters like fires, storms, or vandalism. Homeowners insurance, on the other hand, also includes coverage for your personal belongings and liability (if someone gets injured on your property). Hazard insurance is just one piece of the overall homeowners insurance package.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Do I need to buy both hazard insurance and homeowners insurance?<\/h3>\n\n\n\n<p><\/p>\n\n\n\n<p>If you\u2019re getting a <a href=\"https:\/\/tomo.com\/mortgage\/affordability?utm_source=tomo_blog\" title=\"mortgage\">mortgage<\/a>, you\u2019re going to need both. <a href=\"https:\/\/tomo.com\/blog\/who-does-what-in-a-mortgage-company-understanding-your-lending-team\/\" title=\"Lenders\">Lenders<\/a> want to make sure their investment in your home is protected, so they require hazard insurance to cover the structure. But you can\u2019t just get hazard insurance by itself if you\u2019re financing\u2014the full homeowners insurance policy is required. You could technically have just hazard insurance if you own your home outright, but without homeowners insurance, you wouldn\u2019t be protected against things like theft or liability.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/tomo.com\/mortgage\/affordability?utm_source=tomo_blog\">How much home can I afford?<\/a><\/div>\n<\/div>\n\n\n\n<p><\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Is hazard insurance different by location?<\/h3>\n\n\n\n<p><\/p>\n\n\n\n<p>Yep, hazard insurance isn\u2019t the same everywhere. It\u2019s heavily dependent on where you live. Here\u2019s how location affects it:<\/p>\n\n\n\n<p><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Coastal Areas:<\/strong> If you live near the coast, you\u2019ll likely need extra coverage for hurricanes, storm surges, and possibly flooding (which isn\u2019t included in standard hazard insurance).<\/li>\n\n\n\n<li><strong>Tornado Zones:<\/strong> Tornado-prone areas like <a href=\"https:\/\/tomo.com\/mortgage\/rates\/oklahoma-city-ok?utm_source=tomo_blog\" title=\"Oklahoma\">Oklahoma<\/a> or <a href=\"https:\/\/tomo.com\/mortgage\/rates\/topeka-ks?utm_source=tomo_blog\" title=\"Kansas \">Kansas <\/a>tend to have higher premiums due to the risk of severe storms and wind damage.<\/li>\n\n\n\n<li><strong>Wildfire-Prone Areas:<\/strong> In places like <a href=\"https:\/\/tomo.com\/mortgage\/rates\/sacramento-ca?utm_source=tomo_blog\" title=\"California\">California<\/a>, or <a href=\"https:\/\/tomo.com\/mortgage\/rates\/boise-id?utm_source=tomo_blog\" title=\"Idaho\">Idaho<\/a> wildfire risk can drive up your insurance rates significantly.<\/li>\n\n\n\n<li><strong>Flood Zones:<\/strong> Flooding is never included in hazard insurance, so if you live in a flood zone like <a href=\"https:\/\/tomo.com\/mortgage\/rates\/baton-rouge-la?utm_source=tomo_blog\" title=\"Louisiana\">Louisiana<\/a>, you\u2019ll need a separate flood policy.<\/li>\n\n\n\n<li><strong>Earthquake Zones:<\/strong> If you\u2019re in an earthquake-prone area (like <a href=\"https:\/\/tomo.com\/mortgage\/rates\/va-loans\/seattle-wa?utm_source=tomo_blog\" title=\"Washington\">Washington<\/a>), hazard insurance won\u2019t cover quakes\u2014you\u2019ll need a separate policy for that.<\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<h3 class=\"wp-block-heading\">How much will hazard insurance cost me?<\/h3>\n\n\n\n<p><\/p>\n\n\n\n<p>Hazard insurance costs vary a lot depending on your location and the risks in your area. Here are some rough estimates by region:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Coastal Areas:<\/strong> $1,000 &#8211; $4,000\/year due to hurricane and flood risk.<\/li>\n\n\n\n<li><strong>Tornado Zones:<\/strong> $1,000 &#8211; $2,800\/year because of wind and storm damage risks.<\/li>\n\n\n\n<li><strong>Wildfire Zones:<\/strong> $1,500 &#8211; $6,000\/year, with higher rates for homes near forests.<\/li>\n\n\n\n<li><strong>Flood Zones<\/strong>: $1,200 &#8211; $4,000\/year, factoring in flood insurance, which is a separate policy.<\/li>\n\n\n\n<li><strong>Earthquake Zones:<\/strong> $1,000 &#8211; $3,000\/year for hazard insurance, plus another $800 &#8211; $2,000 for earthquake coverage.<\/li>\n\n\n\n<li><strong>Low-Risk Areas:<\/strong> $500 &#8211; $1,500\/year for areas with fewer natural disasters.<\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<h3 class=\"wp-block-heading\">The bottom line<\/h3>\n\n\n\n<p><\/p>\n\n\n\n<p>Hazard insurance isn\u2019t just a one-size-fits-all deal. Your location, the risks in your area, and the value of your home all factor into what you\u2019ll pay. If you\u2019re in a high-risk zone, expect higher premiums, and make sure you\u2019re aware of what your policy covers (and doesn\u2019t cover), like flood or earthquake insurance.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/tomo.com\/mortgage\/rates?utm_source=tomo_blog\">See today&#8217;s rates<\/a><\/div>\n<\/div>\n\n\n\n<p><\/p>\n\n\n<div style=\"padding-top:var(--wp--preset--spacing--30);padding-bottom:var(--wp--preset--spacing--30);padding-left:var(--wp--preset--spacing--30);padding-right:var(--wp--preset--spacing--30);margin-top:var(--wp--preset--spacing--30);margin-bottom:var(--wp--preset--spacing--30);margin-left:0;margin-right:0;\" class=\"has-link-color wp-elements-c54b177fd5d2f341f8967a20726f2ac0 wp-block-post-author has-text-color has-contrast-color has-background has-tertiary-background-color has-large-font-size\"><div class=\"wp-block-post-author__content\"><p class=\"wp-block-post-author__name\"><a href=\"https:\/\/tomo.com\/blog\/author\/clairegtomonetworks-com\/\" target=\"_self\">Claire Gallaudet<\/a><\/p><p class=\"wp-block-post-author__bio\">Claire is a Mortgage Analyst at Tomo, where she explores the data and trends shaping the housing market. She is especially interested in how economic forces impact homebuyers. A Seattle native, she now lives in Austin, where she balances analysis and communications with teaching yoga and walks around the lake with her dog.<\/p><\/div><\/div>\n\n\n<p>If you&#8217;re ready to start your journey to homeownership, <a href=\"https:\/\/tomo.com\/mortgage\/app\/preapproval?utm_source=tomo_blog\" title=\"\">get pre approved with Tomo Mortgage today.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Wondering what hazard insurance is? It\u2019s the part of your homeowners insurance that protects your home from disasters like fire, storms, and theft. Basically, it\u2019s the safety net for big, unexpected events. Usually, hazard insurance is bundled into your homeowners insurance, but let\u2019s break down the details. Hazard insurance vs. homeowners insurance\u2014what\u2019s the difference? Hazard [&hellip;]<\/p>\n","protected":false},"author":31,"featured_media":4207,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"","fifu_image_alt":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[38],"tags":[],"class_list":["post-4164","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-mortgage-dictionary"],"aioseo_notices":[],"jetpack_featured_media_url":"https:\/\/tomo.com\/blog\/wp-content\/uploads\/2024\/11\/hazard-insurance-1-jpg.webp","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/tomo.com\/blog\/wp-json\/wp\/v2\/posts\/4164","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/tomo.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/tomo.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/tomo.com\/blog\/wp-json\/wp\/v2\/users\/31"}],"replies":[{"embeddable":true,"href":"https:\/\/tomo.com\/blog\/wp-json\/wp\/v2\/comments?post=4164"}],"version-history":[{"count":2,"href":"https:\/\/tomo.com\/blog\/wp-json\/wp\/v2\/posts\/4164\/revisions"}],"predecessor-version":[{"id":4166,"href":"https:\/\/tomo.com\/blog\/wp-json\/wp\/v2\/posts\/4164\/revisions\/4166"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/tomo.com\/blog\/wp-json\/wp\/v2\/media\/4207"}],"wp:attachment":[{"href":"https:\/\/tomo.com\/blog\/wp-json\/wp\/v2\/media?parent=4164"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/tomo.com\/blog\/wp-json\/wp\/v2\/categories?post=4164"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/tomo.com\/blog\/wp-json\/wp\/v2\/tags?post=4164"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}