Who Needs Flood Insurance
Heard the talk? People asking, with El Nino coming, should they get flood insurance?
Here’s what you should know.
Don’t be misled by falsehoods that all flood insurance is expensive or difficult to get. Most homeowners in a low-to-moderate risk area may be eligible for coverage at a preferred rate. Just remember, because most policy’s don’t go into effect until 30 days after purchase, if buying is right for you, don’t wait.
The majority of homeowner insurance policies don’t cover flooding. Check your policy to confirm this pertains to you, too. Flood protection is different from water problems due to burst pipes, washing machine debacles, tub/toilet back-ups and landslides.
To find out what your home’s risk level is, go to:
and enter your address in the red box. This official site of the National Flood Insurance Program provides helpful information for homeowners.
Between 2010-2014 the average U.S. residential flood claim was for more than $39,000. The average California yearly insurance premium, for a home with an average-level risk, is about $850, and coverage is available for both residential and commercial property owners as well as renters and homeowner associations. A standard policy covers up to $250,000 in structural damage, with additional charges to cover your home’s contents, up to $100,000. Deductibles typically range between $1,000 to $10,000. Ask questions so you understand where coverage protects you and where you may still be exposed. Quotations from both private companies and national insurers should be compared.
Never consider FEMA is a safety net. Statistics show even when a disaster has been declared officially, that in only 50% of cases is FEMA assistance granted. And even then, repayment is often mandatory (including with interest!)
We’re watching out for you and your home.