In this article, we will cover what flood insurance is and how it can help protect you and your property against various risks.
The start of Spring marks that time of year when you need to do certain things such as get in shape, clean your home, work on your garden and lawn etc. One of the most important things you could do though is purchase a flood insurance cover.
Even though you may not live in New Orleans or some other location that is prone to getting flooded, your property might still suffer from damage once the melting winter snow inundates your basement. According to the National Insurance Flood Program, 20% of the insurance claims they receive come from renters and homeowners that are in areas that are perceived to be at moderate or low risk of flooding.
The only type of insurance cover that will protect your from flooding that is caused by external forces and weather is flood insurance.
You need to be aware though that flood insurance doesn’t indemnify everything in your home. The Federal Emergency Management Agency stipulates what is covered by flood insurance and what isn’t.
- Appliances – Built-in appliances such as washing machines, dishwashers, and dryers are covered by flood insurance. This is the case for refrigerators and ranges as well. Also included in the insurance cover are freezers and food contained in them, as well as mobile window air conditioners. You need to note though that the food inside refrigerators unlike food in freezers is not indemnified under a flood insurance policy.
- Home Essential Systems – Under this category, plumbing and electrical systems are covered. Other essential systems that are covered by flood insurance include central air conditioners, water heaters, sump pumps, heat pumps, furnaces, water tanks, solar energy equipment, cisterns including the water in them, pumps, and water tanks.
- Window Treatments and Carpeting - If you have placed a permanent carpet over an unfinished floor or have other types of carpets draped over wooden floors, they are covered by flood insurance. This also applies to curtains and window blinds
- Permanently Installed features – This policy covers features such as cabinets, bookcases, wallboards, and paneling. In the event that you have to replace any of these features, flood insurance will only cover the ones that were damaged by floods.
- Detached Garage - You can use up to 10% of your flood insurance cover to protect a detached garage that is used for limited storage. However, you need to be aware that will be deducted from the total amount of coverage that you have access to.
- Valuables - Flood insurance offers protection to valuable items such as furs and original artwork. This protection only covers up to $2,500.
- Personal Property - Personal property that is in your house is covered by flood insurance. This includes electronic equipment, furniture, and clothing. However, you need to note that this items are only covered if they are stored in the basement.