Oklahoma, in the south central region of the U.S. and has approximately 4 million residents. Its territory encompasses not only farming and rural areas but also some urban areas as the population continues to grow. Often referred to as the heart of Tornado Alley, Oklahoma has had to deal with a higher level of risk than many part of the country for not just tornadoes, but also hail damage leading to thousands of homeowners insurance claims a year.
Oklahoma lies in a sub tropical climate with only 36 inches of rain on an average year. Severe thunderstorms lead to damaging winds, often with large hail. This creates a surplus of wind or hail causing homeowners insurance claims across the state. Many residents in this state see moderate to severe damage to their property regularly.
On average over 50 tornadoes a year hit Oklahoma year and cause the majority of the high-payout homeowners insurance claims. While it is less known, Oklahoma can see some very cold temperatures leaving much of the state at risk for water claims from frozen pipes. Water claims are the second largest risk for claims across the country and they are often overshadowed by the severe damage cause by tornadoes. Overall, Oklahoma has a low crime rate which has been helpful in rating factors for urban areas that would otherwise be deemed as high risk.
These types of weather events have lead Oklahomans to focus on mitigating their homes both for safety and to reduce the occurrence of homeowners insurance claims due the extensive damage that this severe weather can cause. Many insurance companies now have responded with different deductibles, surcharges or credits for consumers, not only based on the age of the roof, but now the type of roof and materials. While the market moves on, consumers will find themselves more and more looking toward mitigating risk both to protect their futures and their insurance premiums.