Claims News Service, May 8, 1:19 p.m. EDT — Adjusters are expected to be out in full force after a weekend full of damaging tornadoes ripped through the Midwest.

According to reports, more than 75 tornadoes touched down in the middle of the country, causing destruction that affected Iowa, Kansas, Nebraska, Oklahoma, and South Dakota on Friday evening and Saturday morning. Particularly hard hit was the small town of Greensburg, Kan., located in the southwest region of the state, which was devastated by the twister. The town was already declared a major disaster area on Saturday because of the extent of damages it sustained from what has been reported as a mile-wide twister that packed 205 mile-per-hour winds. This kind of wind speed would rank the storm as an “EF-5,” the highest level possible in the tornado classification system used by the National Weather Service.

Anticipating the need for adjusters, several insurance companies, including Safeco Insurance, announced the deployment of their catastrophe claim team, with other insurers following close behind.

“Our customers in the Greensburg area have suffered significant damages from Friday's storm, which was one of the most devastating tornadoes we've seen in Kansas,” said Robert Johnston, Safeco's national property claims leader, in a release issued yesterday. “We're on the ground to assist Greensburg-area customers, and we're moving quickly to help others throughout the region.”

Third-party adjusting firms also are anticipating an increased demand for their services because of the extent of damages that can occur in a tornado. Experienced independent adjusters likely have already started fielding phone calls for their services.

“With tornado claims, you see a lot of total losses and a lot of wind shear, where the tornado just shears off the side of a building or a corner and damages a structure's frame,” said Melvyn Huckaby, director of training and catastrophe liaison for Wind Policy Specialists, a provider of independent claim services based in Texas. “Tornadoes can tear off a roof and they can knock down structures, so you have a lot of falling objects, which can act as rocket-propelled objects at times. These are typically high-dollar claims, but at the same time there's going to be a lot of small claims under $5,000, too.”

According to the Insurance Information Institute, tornadoes are covered under standard home and business insurance policies for physical damage to property. There is also coverage for the cost of additional living expenses and business interruption. Damage to cars is covered under the comprehensive portion of an auto insurance policy.

In an average year, the National Oceanic Atmospheric Administration reports that more than 1,000 tornadoes occur nationwide. In 2006, these storms caused more than $8 billion in insured property damages, according to an A.M. Best study. Texas has the highest average annual occurrence rate, but in 2005, Kansas topped the list of states with the most tornado activity with 136.

Interested in more catastrophe news and in-depth articles? Head over to Claims' catastrophe channel for more information.

Special Reports /

Adjusters Head to Tornado-Devastated Midwest

Related Stories

Recommended For You