But what’s that have to do with homeowners and insurance? Inflation and increasing economic pressures also impact the cost to rebuild your home should disaster strike. The good news is that homeowners with adequate insurance coverage can rest easy knowing they can rebuild and recover if the unexpected does happen.

Homeowners are encouraged to take TWO STEPS now to make sure your insurance policy provides for adequate coverage to rebuild and restore your home and furnishings: an Annual Insurance Check and a Home Inventory.

STEP 1: Annual Insurance Check 

We strongly encourage homeowners to have an annual insurance conversation with their State Farm agent. Agents can assist customers with estimating the replacement cost of their home during these annual reviews. While the amount of coverage ultimately is the customer's choice, State Farm agents are here to help customers understand their options in selecting the appropriate coverage to rebuild. This also is a good time to make sure you have informed your agent about any changes to your home that may impact your insurance coverage needs, such as an addition or remodeling as they occur. 

Questions for homeowners to consider during their Annual Insurance Check:

• Do I have enough insurance to cover the cost to rebuild and replace my home?               
  
  
  • It’s critical to understand that market value​ is different than the replacement cost to rebuild your home. Market value is the amount a buyer would pay for a home, including the land, regardless of how much it would cost to rebuild the home. Replacement cost, for this purpose, is the rebuilding cost necessary to replace your entire home.               
     
  • We recommend that you purchase an amount of coverage at least equal to the estimated replacement cost. But the choice is yours. Since it is impossible to predict today what the exact cost will be to replace your home in the future, it's important to have enough coverage to account for unforeseen circumstances.               
     
• How can I figure out the replacement cost of my home?               
  
  
  • Ask if a replacement cost estimate is available when you have the home appraised or consult with your local builders association or a reputable builder for an estimate.               
     
  • Building contractors or professional replacement cost appraisers are a good source for obtaining an estimated replacement cost of your home. Estimates from these sources should reflect your home's features. When you upgrade or improve your home, you may increase your home's estimated replacement cost.               
     
  • Replacement cost estimates are influenced by supply of labor, demand for labor, and the cost of construction materials. Keeping up with the current market conditions in your area and changing your home insurance coverage amount accordingly, will help you maintain coverage at least equal to 100 percent of the estimated replacement cost coverage for your home.

STEP 2: Home Inventory 

We often don’t realize the amount of belongings we accumulate over time, in every nook and cranny of our homes. That’s why homeowners are encouraged to conduct a home and personal property inventory prior to a catastrophe or unexpected damage. It’s a good idea to update your Home Inventory on an annual basis at the same time of your Annual Insurance Check-up. A Home Inventory is an excellent way to make sure you can replace things in your home like furniture, home essentials and clothing your home should the unexpected occur.

Questions on why and how you should create a Home Inventory.

• Why do I need an inventory of the personal property in my home or apartment?               
  
  
  •  A home inventory is an excellent way to help make home and renters insurance coverage decisions and expedite the insurance claims process after theft, damage or loss. This record of your insurable assets will help you in the settlement of a covered loss or claim, and determine the right amount of insurance coverage you need.               
     
  • Start making a list and compiling any documents, pictures or videos you still have access to of your personal property. There are many virtual tools to help with a home inventory.                
     
• How do I create a home inventory?               
  
  
  • The first step is to decide on what type of inventory would be easiest for you to create. A home inventory can be as simple as a list of all your possessions or a visual record for each item, but an effective home inventory should include both for added security. Today, there are even digital tools to help simplify the process of maintaining the list.               
     
  • A written inventory: A comprehensive home inventory list catalogs your belongings and should include the item description (make, model and serial number, if applicable), value and purchase date. You can create your own list using a spreadsheet or fill out a home inventory checklist that's ready to go.               
     
  • A digital inventory: If you have an iPhone or Android phone, there are apps that can be downloaded to your phone, some of which are free. These mobile home inventory apps allow you to record a photograph of the item along with the description, value and purchase date.               
     
  • This link provides additional tips for creating a Home Inventory. 

* Consumer Price Index: 2021 in review : The Economics Daily: U.S. Bureau of Labor Statistics (bls.gov)

With over 360 active fires across California and elsewhere, State Farm® is committed to the people and communities we serve. As acres continue to burn, evacuate if ordered to do so or if risk appears imminent. 

Customers impacted by wildfires can visit st8.fm/claim or call 1-800-SFCLAIM to file a claim.

Your agent can also help and give you more time to pay your premium if needed.

Visit CalFire for Information and Resources

Part of a mandatory evacuation?

• Safety first:  Material things can be replaced but the loss of life or serious injury can’t be fixed.
• Stay tuned:  Follow news reports and information from first responders.
• Keep living expenses receipts:  They may be reimbursable after meeting your deductible.
• What to expect from the claims process:  We will work with you closely to resolve your claim.

Steps to take now before your home is threatened

• Know Your Evacuation Plan:  Create it, discuss it and include where to go/reunite, who to call, etc.
• Make a home inventory:  Take pictures and video to document your personal possessions, because proof of ownership can make your claim settlement easier and faster. A quick video of each room can help later on.
• Back up your information:  Back up vital photos, documents and financial information.
• Create an evacuation package:  Put original vital documents and irreplaceable items (paper photos, family heirlooms, etc.) in one place so it is ready to go.
• Talk to your agent:  Discuss your coverage needs, understand your deductible and the difference between the current market value of a property and its replacement cost.

When it is safe to do so, file a claim.

• Contact us to get the process started - contact your agent, call 1-800-SF-Claim, go to st8.fm/claim or use our mobile application.

Face-to-Face protocols, adjustments and staffing during COVID-19

• First and foremost, we are committed to the health and safety of our customers, the communities where we live and work, and our claim employees.
• Our claim operations remain open and available to service your claims. We are monitoring this changing health issue and continually evaluating our response.
• Virtual claim inspection options are available in most states if legally permitted.
• Claims can always be submitted and managed by calling or emailing your State Farm agent, calling 1-800-SFCLAIM, submitting a claim through our mobile app or through our website at statefarm.com/claims.
• Continuous innovation and adaptation have positioned State Farm as the insurance industry leader. The pandemic is a rapidly changing situation and the decisions we are making balance health concerns with our obligation to continue to serve you.

Resources:

• Wildfire Preparation Infographic
• Cal Fire
• www.nfpa.org
• National Interagency Fire Center
• NFPA Firewise
• Creating a Home Inventory
• Insurance Information Institute: Road to Recovery: 3 Key Steps to Simplify Filing Wildfire Damage Claims

Visit Simple Insights for more articles and tips to help you and your family prepare for and recover from wildfires.

Join the conversation on Yammer!

Already through July 7, there have been 26,321 fires in the United States*. Though they have burned more than 1.5 million acres and are above last year’s pace, the numbers are lower than the 10-year average.

There's still time to get your property more wildfire-ready. And, it can be completed over the course of a weekend, leaving you time for your summertime pool parties or backyard BBQs.

Wildfire risk exists in all 50 states. The National Fire Protection Association (NFPA) suggests a three-stage process to reduce wildfire fuel and fashion a buffer around property. To create defensible space and reduce your risk:

• remove dead vegetation
• trim tree branches overhanging your roof, and
• remove combustible materials around structures.

“Preparing our communities for wildfire is more critical today than ever before,” said Lorraine Carli, NFPA vice president of Outreach and Advocacy. “NFPA and State Farm work closely together on this yearly campaign in a continued effort to raise awareness and educate homeowners that they have the power to save their homes and communities before a wildfire ignites, and we have the resources and information to help.”

* according to the National Interagency Fire Center

Break your property into three zones.

Zone 1: the five feet closest to your home or business

• It requires the most careful selection and management of plants and materials. Maintaining this zone reduces the chance fire will ignite near your building and lead to a direct flame contact exposure

Zone 2: runs from five to 30 feet from your home or to the property line

• Maintaining plants in this zone helps prevent fire from climbing into the top portion of trees or shrubs. It stops fire from burning directly to your home.
• Wind-blown embers can still ignite individual islands of plants in this zone. It makes plant selection and maintenance in Zone 1 and plant spacing in Zone 2 critical. NFIP suggests removing dead materials and lower tree branches.

Zone 3: the remaining space of the property

• Maintain vegetation and be mindful of the spacing. This will reduce the energy of a wildfire, slowing its advance on your building. Proper spacing of trees and brush should force any fire in the tops of the trees, brush or shrubs to fall to the ground.

And don't forget...

• Maintain your decks. Remove debris and vegetation from on top of your deck, and do not store wood on or underneath it. Store combustibles, like patio umbrellas and furniture, inside.
• Don’t neglect rain gutters. Clear leaves and other debris from gutters, eaves and porches. This prevents embers from igniting your home.
• Assess your wildfire risks and review your insurance policy to make sure you’re covered in the event of a wildfire.
• Create a home inventory to assist in the claims process if wildfire does strike.

Resources:

• Wildfire Preparation Infographic
• www.nfpa.org
• Firewise
• Creating a Home Inventory

Visit Simple Insights for more articles and tips to help you and your family prepare for and recover from wildfires.

There's still time to get your property more wildfire-ready. And, it can be completed over the course of a weekend, leaving you time for your summertime pool parties or backyard BBQs.

Wildfire risk exists in all 50 states. The National Fire Protection Association (NFPA) suggests a three-stage process to reduce wildfire fuel and fashion a buffer around property. To create defensible space and reduce your risk:

• remove dead vegetation
• trim tree branches overhanging your roof, and
• remove combustible materials around structures.

“Preparing our communities for wildfire is more critical today than ever before,” said Lorraine Carli, NFPA vice president of Outreach and Advocacy. “NFPA and State Farm work closely together on this yearly campaign in a continued effort to raise awareness and educate homeowners that they have the power to save their homes and communities before a wildfire ignites, and we have the resources and information to help.”

* according to the National Interagency Fire Center

Break your property into three zones.

Zone 1: the five feet closest to your home or business

• It requires the most careful selection and management of plants and materials. Maintaining this zone reduces the chance fire will ignite near your building and lead to a direct flame contact exposure

Zone 2: runs from five to 30 feet from your home or to the property line

• Maintaining plants in this zone helps prevent fire from climbing into the top portion of trees or shrubs. It stops fire from burning directly to your home.
• Wind-blown embers can still ignite individual islands of plants in this zone. It makes plant selection and maintenance in Zone 1 and plant spacing in Zone 2 critical. NFIP suggests removing dead materials and lower tree branches.

Zone 3: the remaining space of the property

• Maintain vegetation and be mindful of the spacing. This will reduce the energy of a wildfire, slowing its advance on your building. Proper spacing of trees and brush should force any fire in the tops of the trees, brush or shrubs to fall to the ground.

And don't forget...

• Maintain your decks. Remove debris and vegetation from on top of your deck, and do not store wood on or underneath it. Store combustibles, like patio umbrellas and furniture, inside.
• Don’t neglect rain gutters. Clear leaves and other debris from gutters, eaves and porches. This prevents embers from igniting your home.
• Assess your wildfire risks and review your insurance policy to make sure you’re covered in the event of a wildfire.
• Create a home inventory to assist in the claims process if wildfire does strike.

Resources:

• Wildfire Preparation Infographic
• www.nfpa.org
• Firewise
• Creating a Home Inventory
• What to Do After a House Fire

Visit Simple Insights for more articles and tips to help you and your family prepare for and recover from wildfires.

The State FarmⓇ Simple Insights article library offers advice on a wide array of insurance, safety, and financial topics. The following articles on theft prevention are some of the many great references available to help with the challenges of everyday life.

Vehicle theft prevention:

• Preventing Car Theft: From your keys to parking choice, there's more you can be doing to prevent theft.
• 5 Ways to Boost Security for Cars: Follow these tips to help deter thieves and keep your vehicle safe.

Home burglary prevention & recovery:

• Protect Yourself Against Home Burglary: When you're home or away, these home burglary prevention ideas preserve security.
• 13 Ways to Protect Your Home When You Travel: Prevent your house from becoming a target with tips for security during vacation.
• Pretend You are Home and More Ways to Deter Burglary: Theft happens, so try these affordable ways to increase security and protect your home.
• Home Security: The Latest Burglar-Thwarting Options: The types of home alarm systems and how their features improve your home security.
• How to Create a Home Inventory: A home inventory can expedite insurance claims process after theft, damage or loss.

Talk to a State Farm agent today to make sure you understand what coverage is available and how your insurance coverage works.

To get the claims process started, you can file your claim online, call 1-800-SFCLAIM (800-732-5246) or contact your State Farm agent.

The State Farm Weather and Catastrophe Team is being dispatched to the hardest hit areas. Click the image to learn more about the capabilities of this industry-leading response unit.

More tips and resources:

• Avoid driving if possible. If you have to travel, turn around if the road is flooded or blocked by debris.
• Stay away from downed power lines. Anything touching the power line can carry a charge. Report the downed line and avoid the area.
• Simple Insights:  Hurricane disaster cleanup after the storm

In the News

• CBS WINK TV (Fort Myers, Naples, FL)  Time to review you insurance coverage (08-29-19)
• NBC Ch 6 (Miami) - Are You Ready for Dorian? Get ready now (08-27-19)
• El Nuevo Herald (Miami, Ft. Lauderdale, FL - Spanish) Is my home insured for hurricanes? (08-26-19)

To get the claims process started, you can file your claim online, call 1-800-SFCLAIM (800-732-5246) or contact your State Farm agent.

The State Farm Weather and Catastrophe Team is being dispatched to the hardest hit areas. Click the image to learn more about the capabilities of this industry-leading response unit.

In The News:

• WFSU -  Insurance Company Takes To The Sky After Hurricane Michael (10/17/18)
• WPTV - West Palm Beach:  Insurance companies use drones to assess storm damage for faster, easier claims process (10/18/18)
• WMBB Live in Panama Beach: The Panama City Mall parking lot has become a staging area for work crews. State Farm also has an insurance claim center set up, and mall staff say the mall is working to reopen.(10-15-18)
• WYFF-Greenville, SC:  Flood Insurance on the Rise After Florence (9/18/18)

• The Weather Channel: What to do before and after a hurricane (09/11/18)

To get the claims process started, you can file your claim online, call 1-800-SFCLAIM (800-732-5246) or contact your State Farm agent.

The State Farm Weather and Catastrophe Team is being dispatched to the hardest hit areas. Click the image to learn more about the capabilities of this industry-leading response unit.

In The News:

• Forbes: FAA OKs Long-Range Drone Flights Over Populated Areas By State Farm To Assess Florence Damage (9/19/18)

• WYFF-Greenville, SC:  Flood Insurance on the Rise After Florence (9/18/18)

• NBC29-Charlottesville: State Farm Mobile Center Readying to Roll Out of Albemarle County Office (09/14/18)

• Weather Channel: Florence coverage, Jake from State Farm dog (09/13/18)

• WUSA-Washington, DC: What's the difference between water coverage and flood coverage? (09/11/18)

• Bloomington Pantagraph: State Farm: 'Ready to respond' to Hurricane Florence (09/12/18)

• WCCB-Charlotte: State Farm Insurance Not Making Policy Changes In Light Of Hurricane Florence (09/11/18)

• The Weather Channel: What to do before and after a hurricane (09/11/18)

Are you ready?

A little preparation can make a big difference when it comes to safety and security of your family and pets. Homeowners can protect themselves and their property in advance of the storm with a few simple steps:

• Have an evacuation plan. Before the hurricane, decide what you will do. Find out the location of evacuation shelters. Determine if you will ride out the storm in your home (if local authorities permit you to stay), or establish a safe place inland. Plan an escape route. Tell relatives where you will be.

• Put together an emergency kit. The kit should include basics such as water, food, first aid supplies, clothing, blankets, and important documents. Store your kit in airtight plastic bags or a plastic storage container with a lid.

• Protect your property. Stock plywood and materials you may need to board up windows. Move garbage cans and other large objects inside the house or garage. Secure boats and cars.

• Create a home inventory. Make a list of your possessions and their estimated value. 

In The News:

• Hawaii Public Radio: The Conversation: Storm Experiences (home inventory information at 29:40 mark of the program) Aug. 24, 2018