Report: Millions of Properties May be Underinsured Due to Multiple Undetected Structures

An analysis of residential properties across the U.S. shows a large proportion of homes with multiple structures may be underinsured or uninsured because the additional structures sometimes go undetected.

ZestyAI, a of climate and property risk analytics provider, sampled 1 million properties across the nation using artificial intelligence and aerial imagery, finding that 45% of the properties surveyed contained more than one structure.

According to ZestyAI, insurers can struggle to identify and assess all the structures on a property in cases in which a third or fourth structure may remain undetected.

Other findings of the survey show:

• While 55% of properties feature only a single structure, 31% have two structures, 11% have three and 4% contain four or more structures. These additional structures include detached garages and sheds, or outbuildings used for agriculture or other purposes.
• The prevalence of multi-structure properties varies by state, driven by zoning regulations, agricultural needs and tourism. States like Montana and Wyoming lead with 59% and 58% of properties containing multiple structures. Georgia (26%) and North Carolina (29%) report the lowest prevalence of secondary structures.