(Image source: IIR.)
Mercury Insurance (Los Angeles) is encouraging homeowners to review wildfire mitigation improvements and consult their insurance agents about discounts that may be available.
Mercury says qualifying homeowners may be eligible for wildfire mitigation discounts in multiple states where the insurer writes homeowners coverage. Availability, eligibility requirements and savings vary by state, property and policy, according to a Mercury statement.
“Homeowners put real time, effort and money into making their properties safer, and they should make sure those improvements are being recognized,” comments Holly Sacks, Director of Portfolio Underwriting and CAT Management, Mercury Insurance. “If you’ve cleared vegetation, hardened your home or made other wildfire-resilience improvements, talk with your agent.”
Mercury writes homeowners insurance in Arizona, California, Georgia, Illinois, Nevada, New Jersey, New York, Oklahoma, Texas and Virginia. The insurer says wildfire mitigation discounts may be available to qualifying policyholders depending on the state and property.
Documenting Mitigation Work
Mercury recommends that homeowners photograph improvements, keep receipts and other documentation for major upgrades, and review completed work with an insurance agent. Documentation requirements vary, and some discounts may require photographs, certifications, inspections or other verification.
The insurer says wildfire mitigation can include clearing dead vegetation, leaves, pine needles and other combustible material from the area around a home. Mercury also notes that homeowners can consider noncombustible materials such as gravel, pavers or concrete immediately adjacent to the structure.
The Insurance Institute for Business & Home Safety identifies the first five feet around a home as especially important because wind-driven embers can collect and ignite combustible material in that area, according to the Mercury statement.
Mercury also recommends that homeowners consider measures to reduce the ways embers can enter a home, including flame- and ember-resistant vents and inspection of openings to attics, crawlspaces and other parts of the structure. Keeping roofs and gutters clear of combustible debris can also reduce ignition points.
“Wildfire mitigation doesn’t have to involve rebuilding a home,” Sacks comments. “Homeowners can start by addressing the most vulnerable areas around the structure. Mitigation is an ongoing process, so it’s important to make improvements over time and document the work completed.”
Property and Community Measures
Depending on the property, mitigation work may include fire-resistant roofing and siding, enclosed eaves, upgraded windows, deck modifications and changes to combustible fencing attached to the home.
Mercury says community-level mitigation programs can also help reduce neighborhood risk. Participation in qualifying community mitigation efforts may be considered for certain insurance discounts.
In California, qualifying Mercury customers may receive discounts based on measures such as defensible space, home hardening, IBHS Wildfire Prepared Home certification, qualifying community mitigation and certain types of fire-resistive construction. Depending on the qualifying measures and property, discounts may apply to the wildfire-peril portion of the homeowners premium.
Mercury says its enhanced homeowners product in Oklahoma also provides potential wildfire mitigation savings for qualifying property-level and community-level mitigation, as well as certain fire-resistive construction. Qualifying property-level mitigation may result in a discount of up to 30 percent on the wildfire-peril portion of the premium, not the total policy premium.
Mercury recommends that homeowners ask their agents what wildfire mitigation discounts may be available, whether completed improvements qualify, what documentation is required and whether additional work could qualify the property for savings.
“Protecting your home should be the first priority, but the work may also have financial benefits,” Sacks comments. “If you’ve taken steps to reduce your wildfire risk, talk with your agent. You may find that making your home safer can also help you save on insurance.”
Mercury Insurance provides personal and commercial insurance products, including auto, homeowners and business insurance.