Flood Insurance for New and Existing Home Owners
Flood insurance is not mandatory for every homeowner. However, flood insurance is a worthwhile investment – and every homeowner should have it. Whether looking for homes for sale or an existing home owner, flood insurance is particularly important for waterfront and beachfront properties.
With the damages left behind by Hurricanes Harvey, Irma and Maria – countless properties are still damaged due to mass flooding. With this in mind, you should know that flood insurance is subsidized by the U.S. Federal Government. In fact, your flood zones will determine your overall premium and deductible rates. For example: homeowners in C or X flood zones usually have cost-affordable coverage. However, properties in certain Municipal Utility Districts (M.U.D) or Levee Improvement Districts (L.I.D) may have higher insurance rates.
Still, it is essential to have flooding insurance to protect your home and valuables. Whether dealing with hurricanes or tropical storms, flooding can result at any time. In fact, flooding can also stem from frozen pipes and busted water mains during those frigid and colder months. With this in mind, you also need to know that regular homeowners insurance does not cover flooding.
Explanation of Flood Insurance
Flood Insurance – Essential Information
Property flooding can occur at any time – and you must be able to protect your home or business. In fact, local districts have stepped up their efforts -due to the recent hurricanes – in monitoring flood plains and bayou/dam levels. However, this and rescue plans are simply not enough when it comes to Mother Nature. We have seen the billions of dollars in damages that these recent storms have caused across Florida, the Gulf Coast and even the North Carolina. With this in mind, flooding insurance ensures timely restitution for damages to homes and businesses. This includes optimal coverage for draining flood water out of your property, as well as complete restoration services. Here are some more benefits of taking out a flood insurance policy:
- Timely financial compensation for flooding damages to floors, furniture, fixtures, Sheetrock and all interior-exterior sections of your home.
- Complete insurance coverage for property restoration services – draining floodwater from your home, while restoring floors and replacing any damaged materials. This includes walls, fixtures, tiles, etc.
- Financial compensation for pipes or water main systems that busted due to frigid or below zero temperatures.
- Coverage for all rooms that were flooded – living rooms, dining rooms, kitchens, basements, dens and much more.
- Restitution and checks for additional restoration services – contractor fees, cleanup crew fees, furniture replacements, design team fees, Sheetrock installations, lighting, and even mold remediation and treatment services.
Getting the Right Flood Insurance Plan
Getting the right flood insurance coverage does not have to be hard. In fact, local real estate agents are just a phone call away. With years of extensive industry experience, these professionals can help you find the best flood insurance coverage plans and policies. They can also help you understand which flood zone you reside in, as well as saving money on government flood insurance subsidy programs. If you are buying a condo, the condo association generally carries the flood insurance policy.
If you are not sure about which flood zone you are in, simply check Google for assistance as well. Usually, these zones differ from one another with letters, numbers or combinations of both. They are also divided into areas that are closer to floodplains, bayous and dams – as well as areas that are considered safe. It is important to know that if your home does not have sloped driveways – or are near lakes with no protective bogs – chances are your area and property can flood. The same also goes for homes near lakes and bayous that have a tendency to crest due to inclement weather and heavy downpours.
Without sufficient flood coverage, it is very hard to recover financially from damaged and losses. This not only includes hurricanes, but also common pipe bursts, wind storms, hail and even dam issues.
What about Disaster Recovery Assistance?
Disaster Recovery Assistance is good – but nowhere near the benefits of flooding insurance. Here are some differences:
Flood Insurance Plans
- Property losses are paid in FULL with flood insurance policies and plans.
- Homeowners can always rely on their flood insurance claims being paid out in a timely and efficient manner.
- Flood insurance is backed and subsidized by the U.S. Federal Government.
- Your insurance claims are paid by policyholder premiums and NOT taxpayer dollars.
Disaster Assistance Plans
- Disaster assistance cannot guarantee complete restitution for property damages and/or losses due to flooding.
- Disaster assistance (FEMA and other groups) can take months or even years to get benefits.
- Disaster assistance is secured by taxpayer dollars – this means homeowners are literally at the mercy of their fellow taxpayers and may only receive pennies on the dollar.
- Disaster assistance budgets are extremely stretched thin – due to recent and past natural disasters. This means homeowners may have to dig in their own pockets to repair their properties – or wait months/years for disaster assistance relief.
This is why it’s better to have your own flood insurance plan – as opposed to unreliable disaster relief services. Local agents can also help you file and process your claims in an expedited manner. This allows you to restore your property back in order – and get your life back. You also have the option to request an immediate partial payment after the flood – which too helps speed up the recovery process.
For more information on flooding insurance and property recovery, simply contact your local insurance agent. You can also speak to your homeowner’s association for more assistance and referrals. With hurricane season still not over, do not take any chances on your property being safe as is. Flood insurance – like health insurance – is important for any homeowner and should be secured as soon as possible.