Americans May Be Preparing for the Wrong July 4 Risks, New Analysis Finds

Mercury Insurance analysis of five years of homeowner claims finds water damage, weather-related losses and theft generate far more July 4 claims than fireworks

LOS ANGELES, July 1, 2026 /PRNewswire/ -- As Americans prepare for Independence Day celebrations, a new Mercury Insurance (NYSE/NYSE TX: MCY) analysis suggests many homeowners may be focused on the wrong risks. While fireworks dominate headlines every July, Mercury found that water damage, weather-related losses and theft generated far more homeowner claims during the holiday period than fireworks.

After reviewing five years of homeowner claims during the July 4 holiday period, Mercury found that water damage remained the leading cause of homeowner losses, generating 537 claims and nearly $10 million in paid losses. By comparison, fireworks-related claims accounted for just 54 claims during the same period.

"Fireworks deserve attention because they can cause serious property damage and injuries, but our claims data shows they're not the risk most homeowners are most likely to face over the holiday weekend," said Barnaby Nardella, Chief Claims Officer at Mercury Insurance. "The biggest threats are often the ones people aren't thinking about while they're focused on holiday plans."

What Actually Damages Homes During July 4 Weekend?

Despite the attention fireworks receive each year, Mercury's analysis found that the most common homeowner losses during the July 4 holiday period stem from everyday risks that occur far more frequently.

• Water damage ranked No. 1, generating 537 claims and nearly $10 million in paid losses. Water damage generated nearly 10 times more claims than fireworks-related incidents.
• Weather and tree-related damage ranked No. 2, accounting for 293 claims.
• Theft and vandalism ranked No. 3, generating 113 claims and increasing nearly 23% compared to a typical summer weekend.
• Fireworks-related claims ranked last among the major loss categories analyzed, accounting for 54 claims during the five-year study period.

The Most Surprising Finding

Perhaps the most unexpected finding was that fireworks ranked last among the major homeowner loss categories analyzed.

While fireworks-related incidents increased during the holiday period, they accounted for significantly fewer claims than water damage, weather-related losses and theft. Meanwhile, theft and vandalism claims increased nearly 23% during the July 4 holiday period compared to a typical summer weekend.

That gives reporters a clean pull quote section.

The Risk Homeowners May Be Overlooking

One of the most notable findings involved theft and vandalism.

Mercury found that theft and vandalism claims increased nearly 23% during the July 4 holiday period compared to a typical summer weekend. On average, homeowners experienced 22.6 theft and vandalism claims during each holiday window, compared to 18.4 during comparable non-holiday periods.

The increase suggests that as more Americans leave home for fireworks shows, barbecues, parades and holiday travel, homes may become more attractive targets for opportunistic thieves.

"Many families spend considerable time preparing for fireworks safety, but fewer think about securing their homes before heading to a gathering, parade, or fireworks show," said Nardella. "Simple steps like locking gates, activating security systems, and making sure packages and valuables aren't visible can help reduce risk."

A Different Kind of July 4 Checklist

Based on the claims data, Mercury recommends homeowners focus on the risks most likely to result in property losses:

Prevent water damage

• Inspect hoses, irrigation systems and outdoor plumbing.
• Address leaks before leaving home for holiday activities.
• Know where your home's main water shutoff valve is located.

Prepare for weather-related damage

• Inspect trees and remove dead or weakened branches.
• Secure outdoor furniture, umbrellas and loose items.
• Monitor local weather forecasts before outdoor gatherings.

Protect against theft and vandalism

• Lock doors, gates and garages.
• Use outdoor lighting and security cameras where available.
• Avoid announcing travel plans publicly on social media.

Practice fireworks safety

• Follow all local laws and restrictions.
• Keep fireworks away from structures, dry vegetation and vehicles.
• Have a hose or fire extinguisher readily available.

"Preparation pays off," said Nardella. "The homeowners who experience the fewest headaches over holiday weekends are often the ones who take a few simple precautions before the celebrations begin."

For more information about all things insurance, visit the Mercury Resource Center.

About Mercury Insurance

Mercury Insurance (NYSE: MCY) is a multiple-line insurance carrier predominantly offering personal auto, homeowners, renters and commercial insurance through a network of independent agents in Arizona, California, Georgia, Illinois, Nevada, New Jersey, New York, Oklahoma, Texas and Virginia, as well as auto insurance in Florida. Mercury writes other lines of insurance in various states, including commercial, business owners and business auto, landlord, home-sharing, ride-hailing and mechanical protection insurance.

Since 1962, Mercury has provided customers with tremendous value for their insurance dollar by pairing ultra-competitive rates with excellent customer service, through more than 4,200 employees and a network of more than 6,340 independent agents in 11 states. Mercury has earned an "A" rating from A.M. Best, as well as "Best Auto Insurance Company" designations from Forbes and Insure.com. For more information visit www.MercuryInsurance.com or follow the company on LinkedIn, Instagram or Facebook.

Media interested in receiving updates from Mercury can learn more at the Mercury Newsroom.

SOURCE Mercury Insurance