Where to Get Your Home Disaster Recovery Costs Covered

By Michelle Flores / Posted: Oct 19, 2018 / 0 Comments / Posted in Personal Finance

Where to Obtain Your Home Disaster Recovery Costs

We are all subjected to different hazards including wildfires, tornadoes, flooding, and many more.

Although many people would like to start their preparations in advance, conflicting information or even the cost of preparedness may deter them from taking the necessary measures.

While some options are quite costly, they are beneficial, and they deliver effective prices.

Apart from the planning, our tips will help you understand the possible disaster cost recoveries which you can use in case of an unfortunate event.

Recovery Costs of the Typical Home Disasters:

  • Fire recovery costs. Studies from fire restoration initiatives reveal that victims incur a minimum of $6,000 and a maximum of $10,000 with an average price of $8,000. This data includes even the most modest homes and apartments which have the best fire control equipment. Fire damages include the loss incurred and the firefighting costs.
  • Flood recovery costs. These costs include the expenses of removing the standing water and repairing the damage costs. In many cases, cleaning up the floods water is usually complicated by the biological and chemical contaminants, which may cause health risks. Homeowners incur an average cost of $ 3,000 for water removal and repairs.
  • Mold remediation costs. Molds can cause respiratory problems as well as other health issues, particularly to the people who have breathing disorders. Mold is found in the moist and dumpy areas making it almost impossible to get rid of it manually, and thus depending on the infestation scale; one might spend up to $30,000 to eradicate its effects.
  • Storm and wind damage costs. Storms and strong winds can cause considerable damages to your sidings, roof, or porches. The repair might cost you between $2,000 and $10,000. The process of cleaning up and recovering from the losses incurred after a disaster is quite costly. However, you can reduce these costs by partly doing the work yourself.

Cost Recovery Option 1: Insurance

An insurance cover is one of the reliable methods that can help you to recover the whole value of your lost property. Understand the details of your insurance policy, what is or is not covered by the insurance. Also, ask your insurance provider about the quickest way you can reach out to them in case of an unfortunate occurrence.

Keep your documents safe (preferably in a safe deposit fireproof box). A professional insurance company will systematically gather detailed information about the disaster, identify the costs based on related projects, and verify the accuracy then bill out the job in less than an hour.


  • Peace of mind – an insurance policy gives you peace of mind by knowing that your business/property is protected.
  • Substantial damages – this type of insurance might cover substantial damages which you would otherwise have not covered.


  • The policy only covers the disasters that happen – if the unfortunate event never occurs then you will not be refunded.
  • High monthly premiums – although the rates vary among the different company, some have very high premium amounts.

Cost Recovery Option 2: Payday Loans

A payday loan is a short-term financial arrangement which helps you in case of an unexpected outcome or emergency. Its primary purpose is to ensure that you remain financially stable even after the unexpected expenditure. Although they have a relatively higher interest than the other loans, they can help you to prevent further losses from occurring or worsening the situation.


  • Cash is sent instantly – the amount you request for is usually sent almost immediately after the approval.
  • You can apply online – you don’t have to visit the local office or speak to other people as you can apply online either during the day or at night.
  • High loan amounts – your payday loan maximum amount keeps on increasing if you build a good track record with your lender.


  • High-interest rates – as opposed to taking the small loans or bank overdrafts from your lender, payday loans interests are very high.
  • Additional fees – if you do not repay your loan at the agreed period with your lender, your credit might attract more charges and other penalties and end up paying more.

Cost Recovery Option 3: Disaster Management Program

Both the county and national governments have disaster management programs which help in financing the victims of natural calamity disasters.


  • Good Alternative – that is helpful if you don’t have a personal plan or investment which can help you recover from the loss.
  • No contributions – unlike in the insurance or payday lending, the disaster management programs are catered of by the government.


  • Delays – lengthy process are involved. It means that your case may not be handled immediately and thus you might end up incurring extra costs.

Works Cited

1 HomeAdvirsor.Com “Home Disaster Recovery Cost Guides” https://www.homeadvisor.com/cost/disaster-recovery/

2 Investopedia “Payday Loans” https://www.investopedia.com/terms/p/payday-loans.asp

3 HomeAdvisor “How Much Does it Cost to Repair & Cleanup Water Damage” https://www.homeadvisor.com/cost/disaster-recovery/repair-water-damage/

4 Benefits.gov “Disaster Relief” https://www.benefits.gov/benefits/browse-by-category/category/14

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