Flood Home Insurance: Protect Property From Water Damage

Flood home insurance is not a part of most homeowner’s policies. To protect your home from flood damage, you need to have a stand alone flood home insurance policy. There are many types of flooding you may not have even considered, and each of them will be a loss that you must absorb if you don’t have flood insurance.

Mandated vs. Voluntary Insurance
There are some types of flood insurance that are federally mandated. If you live in an area that is specified as a flood zone, insurance is required. A flood zone or plain means that there has been significant flooding in the area and at some point it was declared a federal disaster area. In this case, it is a requirement that you carry flood insurance, and you qualify for purchasing the insurance through the federal government. The government has plans available with coverage available up to $250,000.  If there is flood damage, the area must be determined to be a disaster area by the government.

Private flood insurance is purchased through your regular homeowners insurance, and covers all kinds of water damage. There is generally a high deductible on flood insurance.  The flood policy works like a fire insurance policy and the provider issues a specified amount of coverage.

Types of Floods
There are many types of water damage risks, and none of them are covered by standard homeowners policies. Sewer backup is not covered by most homeowners policies, and it can do a great deal of damage. This type of flooding requires a separate type of rider on your homeowner’s insurance. Other types of water damage include the pump breaking or malfunctioning to cause a flood, ground water seeping up through the concrete, rain coming in through the window wells, a flash flood, a dam or ditch breaking, a water tower bursting, or construction water going awry.

Rising Water (Floods) vs. Water Damage
If you decide to purchase insurance for flood/water damage, then you should be sure to get comprehensive coverage. Flooding is considered rising water, such as surface water seeping into the basement caused by rain, or a flash flood or landslide caused by heavy rain that leaves your home damaged.

If you have national flood insurance, only this type of rising water that affects a number of homes will be covered. Damage to your individual home because of a broken pump would require a separate flood damage rider on an individual homeowner’s policy.

Water Damage
Water damage from such things as broken pipes or a damaged appliance are generally covered under standard homeowner’s policies. Check your policy for any exclusions so that you do not end up without insurance you might have needed.

To be sure you have the type of coverage you want, talk to your insurance agent and carefully examine all policies. Don’t be caught with a flooded home and no coverage to help take care of it.

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