We’re not sure where you are, but after last night’s thunderstorm in Chico and with El Nino on the horizon, it’s become abundantly clear people should know and understand flood insurance. While home insurance covers a lot, it doesn’t cover flood-related issues. If you live in a high flood risk area or expect El Nino to hit, here are a few things you should know about Flood insurance. Need help connecting with an agent to discuss more? We can help refer one in your area. Here are a few things you should know and think about when it comes to flood insurance.
– Homeowners insurance doesn’t cover flood damage
A lot of homeowners don’t realize that their homeowner’s insurance doesn’t cover flood damage. What does this mean? Well, if your home gets damaged due to a flood, you’re not covered. It only covers water falling from the sky. Know your flood policy and what’s not covered. As a follow-up to homeowners insurance not covering flood damage, are you covered under flood insurance from building property to personal contents property and beyond? Did you know that coverage is often limited in basements regardless of zone or date of construction? Check to see what your flood damage insurance coverage will or will not include.
If you have a federally regulated mortgage or an insured lender and live in a high-risk flood area, you have to have flood insurance.
That’s right, and if your mortgage through a federally regulated or insured lender and you live in a high-risk flood area, you have to have flood insurance. Whether it’s a home, business, or commercial building, you are required. Did you know that there is a 1 in 4 chance of flooding in high-risk areas during a 30-year mortgage? Trust us; we know. We have a residential client who lives right by the orchards and has already had three floods within the last year. It’s worth the investment if you live in a high-risk flood area. Trust us, we’ve seen it. Please don’t wait until it’s too late.
Most flood insurance policies have a 30 day waiting period before coverage kicks in, so if you think El Nino will hit or live in a high-risk flood area, please don’t wait until it’s too late! There’s no time like the present to insure yourself. Often it costs only $400-700 yearly for coverage up to $250,000. It’s well worth it to protect your investment!
These are just a few of the things you should know when it comes to flood insurance. If you want to learn more about flood insurance, here is a great source that can help answer any questions more in-depth. It’s always a great idea to connect with a local insurance agent to get the facts.
