NEW PRODUCT: FireZone Dwelling & Homeowners
What is FireZone?
Wildfire scoring has changed the landscape of personal insurance in many states, and homeowners can find themselves with no coverage option available. We heard the need and designed the FireZone Dwelling & Homeowners products with a Wildfire Sublimit specifically to help clients protect properties that are not able to be written in standard programs due to their wildfire score and/or location.
Product Guide (PDF) - View Coverages & Eligibility
Wildfire Coverage is Intentionally Limited
FireZone is not designed to extend full coverage FOR the peril of Wildfire. Rather, we intentionally limit Wildfire coverage in order to provide the other coverages included with a typical HO3 or DP1 (wind, hail, lightning, etc.) to homeowners who may not have ANY coverage options currently available.
We're managing our Wildfire risk proactively through:
Our Definition of Wildfire - Any fire originating AWAY FROM the insured premises is considered a "Wildfire" in this product. See our Product Guide for the full Wildfire Definition.
Dynamic Capacity Zones - We are proactively managing concentration by geo-coding each quoted account and assessing the amount of Wildfire Sublimit already written within various radiuses from the risk address. Our carrier has set maximums that can not be exceeded. Capacity is not secured until your quote is bound and changes with each account written.
Wildfire Sublimit & Deductible - If capacity is available, each policy is written with a Wildfire Exclusion, and endorsed with a mandatory $5,000 Wildfire Sublimit. All accounts also include a $25,000 Wildfire Deductible. Additional wildfire sublimit amounts MAY be available for purchase up to $100,000 dependent on the risk's Wildfire Score and Total Insured Value. So, while a high Wildfire score will not itself make a risk ineligible, it may lower the amount of Wildfire Sublimit the account qualifies for.
Are All Wildfire Scores and Protection Classes REALLY Eligible?
YES! While a high wildfire score or Protection Class of 9 or 10 will not make a risk ineligible, location may impact the amount of additional coverage available to purchase for the peril of "Wildfire". Each state has additional Wildfire Sublimit amounts listed in our Product Guide, but some addresses in very high Wildfire score areas may be limited in the amount of additional Wildfire Sublimit available to them.
What is a "Wildfire" Exactly?
As mentioned above our Wildfire Definition, which is available in our Product Guide, is specific to the FireZone products. Any fire originating AWAY from the insured premises is a "Wildfire" in this product. This means...
If a barbeque grill on a neighboring property catches fire and spreads to the insured property, it would be considered a "Wildfire" under this policy because the fire originated AWAY from the insured property.
However, if lightning strikes a tree on the insured property and the resulting fire grows into a Named Wildfire, the loss would be assessed under the policy's "Fire" peril becuase the fire originated ON the insured property.
What Does this Mean for My Insured?
Taking measures to mitigate Wildfire risk is in the best interest of the client. It's important for agents and clients to understand that they will not recieve full policy limits in the event of a "Wildfire". Clearing brush and clutter to create defensible space around the home and installing sprinkler systems are just a few ways homeowners are proactively managing their risk. You can find additional resources for mitigating Wildfire risk at firewise.org or ready.gov/wildfires.
As an example: A home with a $235,000 Coverage A limit and a FireZone policy including only the mandatory $5,000 Wildfire Sublimit would be subject to the $25,000 Wildfire Deductible for any fire damage cause by a fire originating AWAY from the insured premises. If damage exceeds $25,000, the Wildfire Sublimit purchased (in this case $5,000) would kick in to offset further costs.
Product Availability
This product was originally designed for our Mountain states, with Idaho and Wyoming currently available. Montana, South Dakota and Colorado will be launching soon.
This product is quoted & bound online in a new Concorde quoting platform that has allowed us the technology to manage our capacity in real-time, as a well as incorporate digital signatures, instant policy issuance and delivery and a streamlined inspection process for HO3 accounts that can be completed by the insured on any mobile devic
HO3 Product Overview DP1 Product Overview Product Guide (PDF)
Questions?
We're here to help! Give us a call or book a time for a personal product tour.