Flood Insurance

You don’t have to live near a body of water to be at risk for flooding — it can happen anywhere it rains. Even historically dry areas have been known to flood without warning. So it may not be a matter of whether you need flood insurance coverage, but how much and what kind.

High risk: Homes in these areas are more likely to be damaged by flood. The government requires homeowners to have flood coverage when they have loans from federally regulated or insured lenders.
Low-to-moderate risk: Flood insurance coverage isn’t required in these areas, but that doesn’t mean it isn’t desirable. Low-to-moderate risk zones account for 25% of all flood insurance claims, and receive one-third of federal disaster assistance for flooding.

What does Flood insurance cover?

Flood insurance covers direct physical loss to your building and its contents caused by flooding

Building property coverage includes:

Building and foundation
Electrical and plumbing systems
Central air conditioning equipment, furnaces, and water heaters
Refrigerators, stoves and built-in appliances such as dishwashers
Permanently installed carpeting over unfinished flooring
Permanently installed paneling, wallboard, bookcases and cabinets
Window blinds
Detached garages, up to 10% of building property coverage

Contents coverage includes:

Personal belongings, such as clothing, furniture and electronic equipment
Curtains
Portable air conditioners
Portable microwave ovens and portable dishwashers
Carpets not permanently installed over unfinished flooring
Washers and dryers
Freezers and food contents
Valuable items such as original artwork and furs, up to $2,500
Replacement cost coverage is not available for personal property

Other flood insurance coverages includes:

Debris removal at federal minimum wage, not subject to deductible
Loss avoidance measures, $1,000 limit, no deductible
Increased cost of compliance — flood-proofing, relocation, elevation and demolition, subject to limitations and qualifying criteria