Partner Blog: Recoop Helps Employees Plan for Disaster

Enjoy this featured content from our Pinnacle Partner™ Recoop

As employees look to build total security around their wellbeing, employers should consider adding disaster relief and financial support benefits to their total rewards programs.

Preparing for the unexpected can often be daunting. With so many things for homeowners to consider, disaster scenario planning often falls to the bottom of the list. Yet it’s a critical safety net. So what unexpected things should homeowners consider or expect? And how do they even prepare for that? Enter: disaster recovery insurance.

By offering affordable policies and cash benefits when people need them most (no strings attached) Recoop is more than just an insurance company—they’re a peace of mind benefit company.

In 2020 alone there were 230 presidentially declared emergencies and disasters. When you consider that the average home is underinsured by 22%, with some underinsured by 60%, that leaves millions of Americans facing a severe threat to their financial wellbeing in the wake of natural disaster. This is why it’s critical to be prepared when disaster strikes.

What is multi-peril disaster insurance?

Recoop Disaster Insurance coverage is the first and only multi-peril coverage that pays a lump sum cash benefit from $5,000-$25,000 to prevent the financial ruin that disasters frequently cause for American families.

Recoop covers these major natural disasters: hurricanes (with storm surge), wildfires, tornadoes, earthquakes, gas explosions, winter storms and dust storms. Plus, having Recoop’s coverage in place can help employers and employees have a positive impact on an environmental, social, and governance (ESG) level—from reducing the amount of time it takes to recover from a disaster, to helping employees return to work and routine quicker, to improving your overall ESG score at the business level by simply providing a critical benefit to employees.

While homeowners might think they’re fully covered for these already with guaranteed replacement, a lot of standard policies simply don’t offer enough coverage (if at all) to help support policy holders during and after disaster strikes.

Essentially, Recoop exists to cover the gaps left by most homeowners insurance policies in the wake of a natural disaster. Their insurance plans help to lessen the financial burden with affordable policies and expedited payments.

Common gaps in insurance policies

There are 5 common gaps in homeowners or renters insurance that are putting Americans at risk.

Natural disasters, such as earthquakes or hurricane-induced storm surges, are generally not covered by standard homeowners or renters insurance policies. Unless employees have protection like single or multi-peril insurance, they might find themselves responsible for bearing all of the expenses and repairs.
Depreciation also plays a role in insurance reimbursements. Certain components of homes, such as the roof or windows, lose value over time. Consequently, when homeowners insurance providers process your claim, you might only be compensated for a portion of the actual expense required to replace the property.
Disaster deductibles have the potential to be exceedingly substantial (and irregular). They encompass a wide spectrum, spanning from 5% to 30% of the home’s worth, and are frequently being elevated for wind-related destruction caused by hurricanes or tornadoes in regions deemed high-risk.
A majority of homes lack sufficient coverage, typically falling short by around 20% of the genuine property value. As material expenses surge and demand for labor and resources intensifies, homeowners might find themselves responsible for handling these escalating expenses—which can be quite unsettling. This situation applies even to policies that promise guaranteed replacement, as they are frequently limited by the home’s insured value rather than its actual worth.
Dealing with insurance claims often involves a waiting period. In the usual scenario, homeowners may find themselves waiting for up to 30 days or more after filing a claim before the funds are deposited into their accounts through conventional insurance channels.

Why employers should include disaster insurance in employee benefits programs and for ESG benefits

According to Businessolver, only a little over half (56%) of all employees are able to “sometimes” put aside money into savings and another 14% say they’re never able to save.

Employers that are looking to protect their employees’ overall wellness should include financial wellbeing as well as their physical and mental health. Companies should prioritize their total rewards strategy, including options that help support their employees, especially during challenging times like after natural disasters.

Offering voluntary benefits is a strategic move that supports employees’ diverse needs, enhances job satisfaction, and contributes to a well-rounded total rewards package, ultimately benefiting the entire organization. Recoop insurance is also a great strategy for employers to make a positive impact on ESG, from mitigating the disruption a disaster causes for the employee and the business to providing peace of mind to employees who may otherwise lack financial resources.

Recoop offers a unique insurance solution designed to provide really flexible, really affordable recovery cash that can help your employees recover faster after a disaster.

Recoop pays out claims fast—usually within 48 hours. There are no restrictions on how to use the lump sum cash payment of up to $25,000, so employees have the flexibility to choose exactly how the financial assistance best helps them rebuild in the wake of a disaster.

Expecting the unexpected

While everyone hopes that disaster doesn’t impact them, hope won’t pay the bills or help recover their losses.

Recoop’s multi-peril disaster insurance coverage is like a safety net for those “what if” moments that life can throw at us. From natural disasters to unforeseen expenses, having Recoop to fall back on can make a world of difference. And let’s face it, no one wants to be caught off guard when disaster strikes.

In short, life can be unpredictable, and being ready is a smart move. By offering disaster relief and financial support benefits, employers are truly stepping up to help their teams weather the storms—both figuratively and literally.

Learn mor e about how natural disaster insurance with Recoop can help you round out your employees’ total financial wellbeing in the face of the unexpected.