Date: July 18, 2007
For more information contact: Mikaela Reck, Public Information Officer, (608) 267-9336 or mikaela.reck@wisconsin.gov

Insurers' response to Wisconsin storms "great"

Madison, WI—The June 7 storms that caused significant damage to several Wisconsin counties has resulted in over $28 million being paid out in insurance claims to those who suffered losses.

"Unfortunately, in Wisconsin we sometimes get powerful and damaging storms," said Sean Dilweg, Commissioner of Insurance. "The insurance industry in Wisconsin is very strong and the way many of the companies handle huge losses like these is worthy of recognition."

For example, American Family Insurance, the largest auto and homeowners insurer in the state reported a total of about 3,300 insurance claims resulting from the June 7 storm, with more claims still coming in. State Farm reported over 1,700 claims, Acuity reported over 1,200, and West Bend Mutual reported about 450 claims to date, to name a few. These companies make up almost 50% of the Wisconsin homeowner's insurance market.

Many insurance companies also helped to relieve the loss by sending catastrophe teams and setting up mobile offices in the areas affected. In addition to these catastrophe teams, some of the insurers even reported contacting all of their policyholders in the storms' area to ask if they were ok or if they need an adjuster to check out their property.

"From what I can tell to date, the insurer's response to this event has been great," said Dilweg. "When catastrophes happen, you really see the strength and impact the insurance industry has on helping people get back on their feet."

The Office of the Commissioner of Insurance (OCI) reminds consumers that even though insurance can be a relief when unexpected storms and disasters happen, it is important to read and understand the details of your insurance policy. For example, you should be sure you have adequate coverage on your home since it is inevitable that you will accumulate more things that need protecting throughout the years. Be sure to update your policy periodically to help keep all of your possessions covered.

Another thing to be aware of is whether your vehicle has collision coverage or comprehensive coverage. Storm damage to a vehicle will only be covered under comprehensive coverage. Many people also do not realize that the removal of trees on their property is not covered unless it actually strikes your home or vehicle, and, furthermore, very few insurers will cover the replacement of trees. Lastly, know that items like jewelry and antiques may require additional coverage and that having a current inventory of your possessions will facilitate matters in the event of loss.

If you cannot resolve your claim with the insurer, you can file a complaint with OCI. To date, OCI has received less than 20 complaints. Most of the complaints involve disputes about repair rather than replacement of damaged siding and roofs.

The OCI complaint form as well as many helpful publications such as Consumer's Guide to Homeowner's Insurance, Consumer's Guide to Auto Insurance, and Settling Property Insurance Claims are available on the OCI Web site at oci.wi.gov. Hard copies can be ordered free from the agency online, by writing to OCI Publications, P.O. Box 7873, Madison, WI 53707-7873, or by calling 800-236-8517.

Created by the Legislature in 1871, Wisconsin's Office of the Commissioner of Insurance (OCI) was vested with broad powers to ensure that the insurance industry responsibly and adequately met the insurance needs of Wisconsin citizens. Today, OCI's mission is to lead the way in informing and protecting the public and responding to its insurance needs.