Tornadoes can bring more than 200 mile-per-hour winds and will destroy anything in their path, including your home. In Mississippi, there is an average of 43 tornadoes a year, which means homes here are more at risk than in some other places. So do Mississippi homes at higher risk of tornado damage cost more to insure?

In short, yes, but we'll talk about why this is the case and what you can do to prepare and protect yourself. The first step is working with a Mississippi independent insurance agent. They can secure the right coverage and answer questions about how your home insurance will cover a tornado. Let's get into the details.

Is Insurance More Expensive in a Mississippi Tornado Zone?

Insurance premiums are based on how big of a risk the insurance company finds the home. An important factor in calculating premiums is the home's location and whether it's at risk of damage from catastrophic events like tornadoes. 

Unfortunately, tornadoes cost millions of dollars in damage to homes every year, so living in an area with an increased risk of tornadoes can cause insurance to be more expensive. This includes home insurance, auto insurance, and even business insurance. They're all likely to be impacted by the fact that there's a greater chance of damage from a tornado. 

How Are Insurance Rates Calculated?

As previously mentioned, insurance rates are calculated based on several factors. Ultimately the company is trying to determine your risk and foresee what their costs would be if you needed to file a claim. While rate calculations seem straightforward, they vary by company, and everyone calculates things a little differently.

Top 10 policy rating factors when purchasing insurance

1. Location of your home: Everything from local crime rates and traffic patterns to your exposure to severe weather patterns can impact your rates.
2. Home price and value: Insurance will consider how much it would cost to fully replace your home when setting premiums.
3. Coverage amount: The more coverage you need, the more expensive your insurance will be.
4. Home age and condition: Homes that are older and not well maintained can more easily be damaged than those kept up to code and safety standards. 
5. People living in your home: The more people living in your home, the more expensive it can be to insure, as companies will consider the risks for each individual being housed. 
6. Prior insurance claims: A home with a history of insurance claims is a red flag for insurance companies. This tells them that there are likely to be more claims in the future, and they'll protect themselves by increasing insurance premiums. 
7. The type of business you have: For business insurance, the type of business you have dramatically affects your rates. A construction company is likely to have more expensive insurance than a hair salon.
8. Driving record: Your driving record is one of the most considerable impacts on insurance premiums for auto insurance. If you have multiple tickets and accidents on your record, insurance will see that as insuring a risky driver. 
9. Your credit score: Having a good credit score can help you with your insurance premiums. A good credit score shows the insurance company that you are financially responsible. 
10. Safety features: Whether it's your home, car, or business, the safer you can make what you're getting insured, the more it will help your rates. 

How Can I Lower My Insurance Rates?

Fortunately, there are multiple ways you can lower your insurance rates or receive discounts on your rates. Ask your agent about the following most common discounts available for home, auto, and business insurance.

Common home insurance discounts

Common car and business insurance discounts

Discounts are readily available on most insurance policies. You just need to find them. An agent can help you discover what you qualify for and where you can save money.

How Does Mississippi Home Insurance Cover Tornadoes?

Not all natural disasters are included in home insurance, but tornadoes are an included covered peril. This means you don't need to do anything extra for your insurance to cover damage from a tornado, but it helps to know how your home insurance would help pay for damage and destruction.

• Dwelling and contents coverage: This includes coverage for structural damage, including your garage, sheds, heating and cooling systems, built-in appliances, and coverage for the stuff inside your home like your furniture, brought-in appliances, computers, etc. It not only covers tornadoes but other perils like fire, wind, theft, vandalism, and the like.
• Liability coverage: This protects you against claims of bodily injury or property damage filed by third parties. Legal costs, including attorney and court fees, are covered if you get sued.
• Additional living expenses coverage: This provides reimbursement for extra costs if you need to live elsewhere after a tornado or other event damages your home. Covered expenses include hotel stays, additional gas mileage, and more.

In the event of a tornado, property coverage would help in the following ways:

• Removal of fallen trees: The property coverage in your homeowners policy would pay for any fallen trees due to the tornado, as long as the tree is blocking an entrance or driveway, or has damaged a structure. 
• Removal and cleanup of debris:  The property coverage would also pay for removing trees and cleaning up debris after a tornado. 

When Are Tornadoes NOT Covered by Homeowners Insurance?

Since tornadoes are a covered peril, it's rare that the damage would not be covered, but every insurance company is different. Every policy will thoroughly outline any exclusions in coverage. The best way to understand the coverages and exclusions within your policy is to work with your independent insurance agent. 

How Can a Mississippi Independent Insurance Agent Help?

Knowing that damage from a tornado is included in your Mississippi home insurance is comforting, but there are additional ways to prepare your home and yourself for potential disaster. A Mississippi independent insurance agent has worked with local insurance companies and homeowners who have dealt with tornado claims.

An agent knows your risks and can guide you in having the best coverage possible across the board. If a tornado strikes, an agent can help you file a claim and get your repairs and reimbursements as quickly as possible.