Do You Need Flood Insurance?

What is Flood Insurance?

Flood insurance covers your home and belongings in the event of a flood. It protects you against damage caused by flooding due to heavy rains, a dam break, etc.

Isn’t water damage covered under your home insurance?

You might say “I already have insurance for my house,” but the type of perils covered in a home insurance policy are split into 3 groups: fire, fire and extended coverage, and broad. There’s also a special form.

  1. Fire (FL-1) covers fire, lightning, and explosion. Fire and Extended Coverage covers those plus windstorm, hail, vehicles and a few others.
  2. Broad (FL-2) covers 17 different perils including fire, freezing plumbing, sink hole, the weight of snow and ice, aircraft, and windstorm, to name a few.
  3. Special Form (FL-3) covers against all risks of physical loss with certain exceptions.

In all of these traditional home insurance policies, water in relation to flooding is not covered.

2017 Flood Map Changes

This year, they’ve changed the 100 Year Flood Map. Now a number of homes are within the 100 year flood zone that were not before. Mortgage lenders are paying close attention to the map changes and sending out notices to their mortgagees requiring flood insurance.

In most cases, the map is correct. There is a process to look at the elevation of your house in relation to the map and have it reconsidered, which might or might not place your house outside the flood zone.

However, even if you’re not required to have it for your home by your mortgage lender, it’s worth getting a flood insurance quote.

Even If You’re Outside a “High Risk Flood Zone”

Wright Flood Insurance reports, “One in 4 low-to-moderate risk flood zone areas will flood. Low risk doesn’t mean no risk. Nearly 25% of all flood claims and ⅓ of flood disaster assistance is for properties outside of the high risk flood zone.”

We are experiencing unpredictable and progressively more severe weather. When you look at the news you see severe fire events in the Midwest and rain events in the South. Living in Rockbridge County, Virginia, our last major rain event was Hurricane Camille in 1969. That severe rain event caused water to flow over the top of East Lexington Bridge.

But just because it happened that long ago doesn’t mean it won’t happen again this year, or the next, or the next.

Ultimately, you buy flood insurance to protect what is yours from the unpredictability of the weather.

Disaster Assistance Only Goes So Far

“Disaster Assistance is a loan, but longer-term rebuilding and repair work is not covered by the federal program. However, flood insurance gives you the ability to rebuild, repair, or replace your possessions.” (Wright Flood)

What would it cost you to rebuild, repair, or replace your home and belongings without flood insurance? Having flood insurance now could be a minimal cost in comparison. Learn more about how flood insurance works, and see if it’s worth it to you.

Contact us to get started on a no obligation flood insurance quote.

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