What should you consider when purchasing flood insurance?
Anywhere it can rain, it can flood. That’s why it’s important to take steps before, during, and after a flood to mitigate losses.
NFIP flood insurance policy covers direct physical losses caused by a flood.
What is a flood?
A flood is a general and temporary condition of partial or complete inundation of two or more acres or two or more properties of normally dry land area from:
- Overflow of inland or tidal waters
- Unusual and rapid accumulation or runoff of surface waters from any source; or mud flow
What if I do not live in a flood zone or high risk flood area?
Over 20% of all flood insurance claims are from outside of a “high risk” flood area (https://www.floodsmart.gov/flood-insurance/why). If you are not in a “high risk” flood zone, then you may be eligible for lower-cost preferred rating.
Who can purchase a flood insurance policy?
Anyone who lives in a flood zone or a participating community can purchase a flood policy. Click on the link for more information. https://www.fema.gov/flood-insurance
How much is flood insurance?
The cost of flood insurance varies depending on factors such as the location and flood risk of your property. Premiums can range from a few hundred to several thousand dollars per year. It's recommended to consult with an insurance provider to get a specific quote based on your property's details and location.
What does flood insurance cover?
Flood insurance covers damage to your property and belongings caused by flooding. This includes water damage from overflowing rivers, heavy rains, storm surges, or other sources of flooding. It typically covers the structure of your home as well as its contents, providing financial protection for repairs, replacements, and cleanup costs associated with flood damage.
Does homeowners insurance cover flooding?
Homeowners insurance generally does not cover flooding. It typically excludes coverage for damage caused by floods, which requires a separate flood insurance policy. Homeowners insurance typically covers other types of water damage, such as from burst pipes or accidental leaks within the home, but not flood-related damages.
Our team understands that “one size fits all” is not an insurance option; we’d be more than happy to chat about your individual insurance needs.