The vast majority of American family homes are protected by homeowners' insurance policies. However, what not everyone realizes is that those general policies don't cover damage to the property or its residents' belongings due to flooding. That usually requires taking out a separate flood insurance policy, which can be confusing for those who have never looked into the option before. Read on to find answers to some of the most frequently asked questions about flood insurance before choosing a policy to buy.
What's Covered By Flood Insurance?
Generally speaking, flood insurance covers damage to homes and other structures and the personal belongings they contain that occur as a result of floods. Technically, any time that two or more acres of land that is normally dry become inundated by water or liquid mud, that's a flood, and according to realtimecampaign.com, that happens more often than most people think. Every policy is a little different when it comes to coverage exceptions and limits, so be sure to check out this explanation of the policy's provisions before signing on the dotted line.
Is Flood Insurance Worth the Money?
The Federal Emergency Management Agency (FEMA) cites floods as the most frequent and expensive natural disasters that occur in the United States. Perhaps as a result of increasing awareness of this issue, Flood insurance policy levels rise citywide, despite decline in Queens. The same trends can be seen elsewhere, with homeowners who have taken out policies before storms crediting them with saving their families finances. Even in areas that are only at a mild to moderate risk of flooding, the increasing volatility of weather patterns caused by climate change makes it worth having flood insurance.
Where Can Homeowners Get Flood Insurance?
Not all agencies offer flood insurance policies, especially in states where flooding is a frequent occurrence. In coastal states, homeowners can look into a company like Kin Insurance which offers comprehensive policies for homeowners, condo owners, and landlords rather than huge nationwide providers that try to do it all. Finding the right insurance provider isn't just about affordable pricing, although that's certainly important. It's also about finding an agency that is responsive and helpful.
Is Flood Insurance Expensive?
The cost of flood insurance policies varies significantly depending on factors such as whether a home is in a high-risk zone, how old it is, how it's designed, and what type of coverage is being purchased. Deductibles and coverage amounts also vary by plan. The only way for homeowners to get a clear idea of how much flood insurance will cost is to reach out to one or more providers for quotes.
Start Shopping for Policies Now
Many insurance providers use moratoriums to avoid paying claims on policies taken out directly before storms, so it's never smart to wait until a flood seems imminent to purchase flood insurance. Instead, take preventative action. Start shopping around and find an affordable policy now to avoid spending tens of thousands of dollars to repair flood damage out of pocket in the future.