Mother Nature is a force that can’t be predicted or controlled. Climate change has increasingly brought more severe and extreme weather than we have experienced in the past. Powerful storms bring torrential rain that leads to flooding, causing damage to homes and properties in its path. A comprehensive flood insurance policy can protect your property from the financial loss caused by floodwaters entering your home, damaging its structure and contents.
FEMA reports that it only takes one inch of water to cost you $27,000 or more in damages to a building. That price tag shows you how expensive the expense of recovering after a flood can get. Securing your property with the safeguard of a flood insurance policy will benefit you in many ways explained below.
What Is Flood Insurance?
First, let’s explain what flood insurance is and what protection it provides. As a type of property insurance, flood insurance is designed to cover a dwelling from losses that occur specifically due to water damage caused by:
- Prolonged or heavy rain
- Levee dam failure
- Coastal storm surges
- Storm drainage system blocks
- Melting snow
It is considered a supplemental insurance policy separate from the basic hazard insurance coverage found in a homeowner’s insurance policy. Interior water damage from a burst pipe, for example, is generally covered by a standard homeowner’s insurance policy. But there’s no protection from the damage or destruction that flood waters cause.
Flood insurance is available for homes and commercial properties. It works the same way as other insurance products where you pay an annual premium for coverage. This premium is determined by the risk associated with where the property is located and the deductible you choose.
Flood insurance is offered by the Federal Emergency Management Agency (FEMA) through its National Flood Insurance Program (NFIP). Private insurance companies issue insurance policies, following the guidelines of the NFIP. FEMA keeps updated flood zone maps for the United States to determine the areas that are most likely to experience flooding.
There are two types of coverages available in a flood insurance policy. Building coverage protects:
- Water heaters
- Electrical and plumbing systems
- Built-in appliances like dishwashers, refrigerators, and cooking stoves
- Carpeting (permanently installed)
- Cabinets, paneling, and bookcases (permanently installed)
- Window blinds
- Detached garages
- Foundation walls, anchorage systems, and staircases
- Solar energy equipment, well water tanks and pumps, and fuel tanks
Contents coverage protects:
- Washer and dryer
- Microwave oven
- Clothing, furniture, electronic equipment, and other personal belongings
- Furs, original artwork and other valuables up to $2,5000
- Carpets that aren’t covered in-building coverage
- Window and portable air conditioners
Residential properties have a maximum of $250,000 in building coverage and $100,000 in contents coverage. Businesses have a maximum of $500,000 in building coverage and $500,000 in contents coverage. There are additional coverages available if you want to insure a property for a greater amount.
Flood insurance provides the insured with the peace of mind that they are covered when a disaster strikes. The first thing that comes to mind after a devastating incident is the security of your loved ones. Your hope is to have a safe property to return to after the event. It’s an emotional time that is complicated with more stress if you don’t have protection.
It’s a myth that flood insurance is a complicated process. Coverage is in reality straightforward, much like other types of insurance policies. Consider working with a dependable insurance firm that can create the right policy for you and explain how flood insurance works. Your time, energy, and finances are limited. Save yourself from the expense of thousands of dollars in property repair and replacement by obtaining a flood insurance policy.
Protection Of Property
People often make the mistake of believing that their homeowner’s insurance policy will cover flood events. But that’s not true in many cases. Avoid confusion by talking to a knowledgeable insurance firm. They will assist you in determining what your coverage plan should include by assessing your requirements.
Keep Your Family Safe
FEMA provides support for many disasters that occur in the United States. But you can’t rely on their assistance for every natural disaster event that happens. Take a proactive approach by getting insurance that ensures your family and property are taken care of.
Improve A Home’s Value
Properties that reside in a high-risk flood zone will generally require you to purchase flood insurance. It is still an essential coverage considering that 20 percent of floods occur outside of high-risk zones. Show that you’re a homeowner who takes pride in your home and community by taking the steps to protect your loved ones and property.
Contact The Flood Insurance Agents At Merchant Family
Merchant Family Agency has experts who are ready to assist you with your flood insurance questions and needs. Contact us to learn more about the benefits of a policy and how to get covered today.