What does Flood Insurance Cover?
Whether you own a home, business or you rent, you can look to insure against the peril of Flood, which is typically excluded from a standard Homeowners, Business or Renters Policy.
Flood Insurance covers DIRECT PHYSICAL LOSS caused by “flood”. There are many factors that determine how and what you own is covered. Some of those factors are; what type of building you own, what type of basement you have and where your contents are located within your building.
What is the definition of a flood?
Here’s how “flood” is defined by the National Flood Insurance Program: “A general and temporary condition of partial or complete inundation of two or more acres of normally dry land area or of two or more properties (at least one of which is the policyholder’s property) from:
- Overflow of inland or tidal waters
- Unusual and rapid accumulation or runoff of surface waters from any source
- Collapse of land along the shore of a lake or similar body of water as a result of erosion or undermining caused by waves or currents of water exceeding anticipated cyclical levels
What flood zone am I in? Everyone is in a flood zone!
Some buildings are in a high-risk zone and some are in a low risk zone.
You and your neighbor could be in different zones.
If you are curious what flood zone you are in; head over to FEMA’s map service center, type in your address and check it out!
Where can you get coverage?
For many years you could only look to obtain coverage through the National Flood Insurance Program (NFIP). However, there are many private markets offering flood coverage over the last few years. Many of the private markets offer higher limits of building and contents coverage than the NFIP and they also may offer some additional coverages that the NFIP program’s policy does not, such as Additional Living Expenses or Business Income Coverage.
What should you do?
The best thing for you to do is to call us. Let us work with you to help you decide what coverage options work best for you!