Hurricane Delta drenched Louisiana!
While it was only a category 2 hurricane, Delta still managed to pour over 17 inches of rain in 48 hours. Considering that Louisiana was still recovering from Hurricane Laura’s visit six weeks earlier, thousands of people found themselves flocking to nearby storm shelters.
Hopefully, the residents of Louisiana had the forethought to purchase a flood policy before the storm struck. If you’re thinking about starting a flood policy of your own, then you’re in the right place. In this article, we’ll answer the question, “What is flood insurance?”, as well as what it does and doesn’t cover.
Don’t wait until it’s too late. Read on to learn everything you need to know about starting a flood policy today.
What Is Flood Insurance?
Since homeowner’s policies typically don’t cover Flooding damages services, flood insurance is there to fill the gap. What is flood insurance? It’s a type of coverage to help you recover in the event a flood causes damage to the place you live.
The National Flood Insurance Program, or NFIP, helps issue flood insurance policies for homeowners, businesses, and even renters. If you live in an area that’s considered to be high risk for floods and you have a mortgage, you may be required to carry a minimum limit of flood insurance at all times.
However, minimum coverages might not be enough to help you recover if a flood happens. When it comes to determining how much to spend, we suggest you choose a plan that will account for the full cost of your property. Should the worst happen and you lose your home to floodwaters, the policy can help pay to rebuild your home.
What Does Flood Insurance Cover?
One of the biggest benefits of flood insurance is that you’ll be able to receive coverages, even if you only experience minor damages. Here’s a list of things your policy will cover:
- Your home
- Electrical systems
- Electronic equipment
You can also request that your policy covers valuables such as expensive art collections, jewelry, or furs.
What Isn’t Covered by Flood Insurance?
Unfortunately, even if you have the maximum coverage limits, there are certain things flood policies won’t cover. Here’s a list of things your policy won’t payout for:
- Swimming pool damage
- Loss of income
- Car damage
- Stock certificates
- Lost cash
Flood insurance policies offer limited coverage options for homeowners and renters with basements. For instance, if you have a basement, your policy won’t cover things like carpeting, window treatments, and damage to the walls in the basement.
Finally, there are strict limits in place about how often you can collect on flood insurance. If you have to make multiple flood claims, The NFIP might offer you a grant so you can invest in making your property less vulnerable to floodwaters.
Protect Your Home
The next time you hear someone asking, “What is flood insurance?”, you’ll already know the answer. It’s an insurance policy you have to take out separately from either your renters or homeowners insurance coverages.
Go ahead and find out if the area you’re living in is prone to floods. If you are in a high flood risk zone, start the process of opening up a flood policy today. For more ways to protect your home, check out the rest of this site.