Why Flood Insurance is Important

With recent flooding East Texas and neighboring Louisiana it is hard not to feel for those who are facing financial hardship in addition to the loss and hardship that always comes with flooding.  Having worked for so many years in the insurance industry it is hard not to think about how much unnecessary stress and expense could have been avoided with flood insurance!

Many people are simply not aware that standard homeowner’s policies do not cover flood water damage at all.  More tragic still are those who realize they are not protected but disregard it believing they don’t need it.  Far too often the phrases “But my house never flooded in 20 years” or “I don’t understand, I am not in the flood plain” as victims of flood damage find themselves battling their shock among tragic loss.  Hurricanes are no less indiscriminate in where they strike.  Many on the East Coast of the United States might now realize this all too well.

It is so crucial for every homeowner to embrace the value in protecting their homes against potentially tragic losses.  There is little or nothing to do among rising waters to save material items.  The value in flood insurance is that you will be able to replace many of your things, make repairs necessary and avoid financial ruin if your losses are severe.

When shopping for flood insurance there are some very crucial details that you should carefully:

• Assess your need for flood insurance.  If you live along the coast, near a major waterway or in a county where flooding occurs at all you definitely need flood insurance!  Getting flood insurance in anticipation of a loss costs much less for homes that are in a lower-risk area or that has never flooded.
•  Carefully assess the amount of coverage you need.  Many flood policies have a maximum coverage limit and a set amount for the home’s content.  So, if you have a $350,000 home with $50,000 worth of valuable contents a $150,000 total loss limit and $100,000 content limit are going to leave you very under-insured!  So, have your home carefully evaluated for the amount of coverage you need.
• Know what flood insurance doesn’t cover.  Flood is insurance is just that – flood insurance.  So, it is important to know what it doesn’t cover and be sure your homeowner’s policy is sufficient.  Such things as swimming pools, landscaping, important papers, below-ground areas and many other things are not covered in a flood insurance policy.

Shopping for flood insurance as with any policy is an important and sometimes convoluted process.  If you are considering flood protection for your household  I encourage you to contact us today.

 We have a Property & Casualty Division that specializes in providing coverage options such as flood insurance.  We can ensure that both your home and flood policy have provided you with the protection that you need.  Our services are always free and we can save you money by shopping all of the major carriers!

Regardless, please carefully consider your potential need for flood insurance.  It is certainly a coverage area where the vast majority of people don’t see any value until it is too late!

E. Steele