This autumn’s wildfire season has already proven devastating to so many communities. No one wants to think it could happen to them, but given changing climate conditions and the dynamics of human population, the threat is very real.

The California wildfires underscore the need to have adequate insurance, not only for the things you own, but also to cover the attendant costs of rebuilding lost or damaged property. Architect’s fees, construction permits, and soil sampling tests will be needed before rebuilding, and all carry costs not covered by most standard fire insurance policies.

One aspect that homeowners frequently overlook is having adequate “Loss of Use” coverage. Loss of Use coverage (or Loss of Rents if the property is rented to tenants) provides coverage for any additional costs above normal expenses of running your home after a covered loss in which damage has rendered your home is uninhabitable.Loss of Use coverage pays for you to stay elsewhere (hotel expenses in the short-term and renting another property in the longer-term) as well as the cost of meals etc. Remember, if you have mortgage and tax obligations, you’ll still have to keep up with those payments. Loss of Use coverage lets you rebuild without falling behind on your other financial obligations.

You can only imagine what costs for rentals will be like after a major disaster, as the demand will far outweigh the supply. Policies usually provide a flat dollar payout amount, or a prescribed period of time (i.e., one year) during which benefits apply, while only a few provide such coverage with no limit. With a disaster of broad scope, like the California wildfires, your rebuild time could easily exceed the benefit period of most policies, forcing you to manage the payout amount frugally. And if the money runs out before the rebuild is complete, you may be forced to forego certain expenses or pat for them out of pocket.

In addition to the contents of your home, there are many losses that many people don’t consider—such as the cost of replacing lost documents, the cost of replacing software used by your electronics, and the cost of replacing prescription medications, to name a few.

Like major floods, fires of this magnitude highlight the need to plan for major disasters—those in which you could lose literally everything you have. Extensive losses are not limited to fires, floods, and storms, as the recent gas line explosions in Massachusetts show. Entire homes were virtually, erased while those a few feet away remained unaffected.All this emphasizes the point that the worst-case scenario can happen and that you should have sufficient coverage to protect your property and possessions in that event.

At MAGIS, we understand the importance of safeguarding your property and possessions. We also know that rebuilding takes time and that all the attendant costs aren’t always immediately apparent. That’s why we craft our policies to help you prepare for the unthinkable. We look at more than simply item value and replacement cost—we also consider the very human aspects of rebuilding after a major loss. Contact a MAGIS representative today, and discover how we can help you build an insurance profile that meets all your needs.