An actual flood insurance policy may not match your image of what flood insurance is. Interestingly, the majority of claims filed originate from those who don’t reside in what are designated as flood areas. As is obvious, this sort of insurance is intended to protect your home and your personal belongings in the event of some form of flooding. Note that federal help is limited and coverage is very rare in regular homeowner policies.
If you do happen to own property in a flood plain, the mortgage company for your home will probably insist upon you buying a policy. Those who should most seriously consider coverage are people who live in areas where, over time, various storms have caused serious damage. If you wish to avoid taking on the costs of a comprehensive policy with all the boxes checked, you can get flood coverage limited to personal possessions only. Renters also have this kind of coverage as an option.
Flood coverage can be had by all. Should you not reside in a flood plain, it’s going to be far less costly. No matter where you might live though, imagine the peace of mind in knowing you’re protected in the event of a biblically epic storm hitting. As a general rule, you should obtain coverage amounts that are equal to the replacement value of your home and/or personal belongings.
Flood coverage can also be tailored to your specific wants and needs, so you can find the perfect level of coverage that suits you best. For example, if your business lies in the path of a potential damn burst and your home sits on a location that is consistently high and dry, you can buy comprehensive coverage for your business and choose only coverage for certain possessions in your home, thus saving on some costs.
Thankfully, most of this kind of insurance is relatively less costly and will most likely not exceed the cost of the damage most likely inflicted by an unexpected flood. It is important to remember that flood insurance doesn’t commence right away after purchase. It is generally required that one wait 30 days before enjoying the coverage being in effect. So don’t wait until storm clouds are gathering before obtaining coverage.