Flood Insurance: Protect What Matters
Navigating the waters of flood insurance can be tricky. Am I covered? Should I be covered? Where can I get coverage? These are questions that plague many U.S. homeowners and, luckily, HomeInsurance.com is here to help.
At HomeInsurance.com, we specialize in helping homeowners protect their largest investment from top to bottom. Once you've got a home insurance policy, we can help take your protection one step further with a flood insurance policy.
First, let’s go over a few common flood insurance myths.
6 Flood Insurance Myths
Think your home insurance policy covers floods? Or that flood insurance is only for high-risk flood zones? Think again. It’s time to dispel these myths and get to the truth about protecting your home from flooding.
- Floods are covered by my home insurance. Contrary to some homeowners beliefs, standard home insurance policies do not cover flood related damage or losses. For flood coverage, homeowners need a separate flood insurance policy purchased through the National Flood Insurance Program (NFIP). With the average residential flood insurance claim amounting to more than $38,000 (FloodSmart.gov), you probably want to be covered.
- Flood insurance is only for high risk areas. It’s true that homeowners in high risk flood zones are often required carry flood insurance by their mortgage lender; however, those in moderate to low-risk zones can purchase policies as well. In fact, people outside of mapped high-risk flood areas file nearly 25% of all flood insurance claims and receive one-third of all Federal Disaster Assistance for flooding, according to the NFIP.
- Federal Disaster Aid will pay to rebuild my home after flooding. Federal disaster aid is only available if the president declares a disaster, which happens in less than 50% of flooding incidents. Even when a disaster is declared, help comes in the form of a loan, which you have to repay – with interest.
- Flood insurance is expensive. The NFIP states that the average annual flood insurance premium is $650, which can be pricey if you never have to use it. However, for moderate to low-risk area homeowners there are less expensive options such as the low-cost preferred risk policy starting as low as $129 annually.
- I can’t buy flood insurance if my property has been flooded. As long as your community is in the NFIP, you are eligible to purchase flood insurance even after your home has been flooded.
- Flood insurance policies take effect right away: Flood insurance policies typically have a 30-day waiting period before they go into effect. Make sure you don’t wait until a threat is imminent to purchase a policy.
Flood Insurance Coverage 101
There are two types of protection included in flood insurance policies:
- Building coverage: This includes coverage for the building and its foundation – often a major factor in flooding. This coverage also includes items like electrical, HVAC and plumbing systems, water heaters and other similar items.
- Contents coverage: This include coverage for clothing, furniture, electronics, portable appliances and more.
Limits for a standard residential policy are $250,000 for building coverage and $100,000 for contents.
Home & Flood Insurance: The Perfect Combination
To stand the test of time, every home needs a solid foundation. Your home insurance policy is part of that foundation. But without flood insurance, your home could be in trouble. Don't think that just because you live in a moderate to low-risk area you should nix flood coverage. Even carrying a policy with minimal coverage is better than none.
At HomeInsurance.com, we can help you pair a home policy with flood coverage that will keep your investment fully protected no matter what weather comes your way.
Ways to save on home and flood insurance
Savvy homeowners search for ways to save and, at HomeInsurance.com, we understand. Home insurance discounts are a great way to lower the cost of your annual premium.
Raising your deductible is another way to lower insurance costs. Just make sure you’ll actually be able to pay your deductible in the event of a claim.
Ready to get a home and flood insurance quote? Enter your ZIP code in the form above or call us directly at the number on your screen. Ultimate home protection is just a click or call away.