Storm Season Is Coming: Is Your Insurance Adequate?

In the world of wealth management, one of the most overlooked yet critical priorities is ensuring your insurance is robust enough to match the complexity of your life. For families approaching or in retirement, protection is often the missing link. Investments, retirement planning, and legacy goals may take center stage—but without adequate insurance, even the best financial strategy can be disrupted by a single storm.

The truth is that most “standard” insurance is designed for average households. High-net-worth families live far outside that definition. Multiple properties, valuable collections, domestic staff, and unique lifestyle choices create exposures that a one-size-fits-all policy may not address. Storm season is the perfect reminder: Protection needs to be as thoughtful as your overall financial plan.

Why “Standard” Coverage May Leave Gaps

Underestimated Replacement Costs: High-value homes often include custom design, rare materials, and craftsmanship that don’t fit neatly into standard replacement cost formulas. A typical policy may cover only a generic rebuild, not the true cost of re-creating your property’s unique character. The same applies to jewelry, art, and collectibles, especially if appraisals haven’t been updated in recent years.

The Flood Gap: One of the most widespread misconceptions is that homeowners’ insurance does not cover flood damage. For properties near coasts, rivers, and lakes or in areas prone to heavy rain, this is a separate—and critical—consideration. Importantly, flood insurance often carries waiting periods and cannot be added at the last minute.

Inadequate Liability Protection: With significant wealth comes increased visibility. Unfortunately, that often brings higher exposure to lawsuits. A slip on your property, a car accident, or an incident involving household staff could result in claims far beyond the limits of a standard policy. Without additional liability coverage, personal wealth may be vulnerable.

Multiple Properties, Distinct Risks: Many affluent families own multiple residences, such as a beach house, a ski chalet, a city apartment, or a ranch. Each of these properties brings its own set of risks. Adding boats, aircraft, or luxury vehicles into the mix increases the complexity. A blanket approach rarely captures the nuances of such a lifestyle.

Areas Worth Reviewing with Professionals

• Homes and Structures: Understand how deductibles work for wind, hail, or named storms. Ask whether roof coverage, code upgrades, or equipment breakdowns are included.
• Flood Insurance: Explore what’s available through the National Flood Insurance Program (NFIP) or private carriers and whether additional protection (excess flood) makes sense for higher-value properties.
• Secondary and Seasonal Homes: Confirm whether occupancy rules or rental use might affect coverage and whether major renovations should be treated differently.
• Valuables and Collections: Consider whether jewelry, art, wine, or other items are listed individually with up-to-date appraisals.
• Vehicles and Watercraft: Double-check how luxury cars, collectibles, or boats are treated and whether liability coverage coordinates with broader protection.
• Umbrella Liability: Evaluate whether existing liability protection reflects the scale of your overall wealth.
• Domestic Staff, Board Service, and Cyber: If you employ staff, serve on boards, or want more protection against cyber risks, discuss whether coverage in these areas is sufficient.

Why This Matters

Insurance should not be viewed as a commodity purchase. For high-net-worth families, it is part of a broader risk management strategy that supports retirement, estate, and legacy planning. The goal is not to “sell” more policies—it’s to ensure that coverage keeps pace with wealth, lifestyle, and changing exposures.

This is why we partner with an experienced private client insurance broker. Their expertise complements our planning process to help ensure that every element of your financial life is aligned and protected. If you don’t currently work with a specialist, please reach out to us—we’ll gladly connect you with our trusted broker, who can provide a thorough, high-level review.

A Smart Approach Before the Storm

1. Collect your existing policies and note limits, deductibles, and exclusions.
2. Confirm how ownership is structured—for example, through trusts or LLCs—and ensure the correct names appear on policies.
3. Identify gaps between what you own and what’s currently insured.
4. Coordinate with your wealth team and a licensed insurance specialist to align protection with your overall financial strategy.

Final Thoughts

Storm season is more than a weather forecast—it’s a reminder to be proactive. For high-net-worth families, overlooking insurance gaps can turn a natural event into a financial setback. By working with a coordinated team—including your wealth management professionals and a dedicated insurance broker—you can approach the season with confidence, knowing your homes, lifestyle, and legacy are better protected.

If you’re already a client, we’ll ensure this review is part of our regular planning process. And if you’re not yet working with us but are concerned about whether your insurance protection is keeping pace with your wealth, this is an excellent starting point. Reach out to us, and we can connect you with our trusted insurance broker and show you how this fits into a broader financial strategy.

The opinion of the author is subject to change without notice and must be considered in conjunction with relevant regulation, as well as subsequent changes in the marketplace. Any information from outside resources has been deemed to be reliable but has not necessarily been verified. Each individual has unique circumstances to which this information may or may not be relevant. Under no circumstances will this information constitute an offer to buy or sell and it does not indicate strategy suitability for any particular investor.