Torrential Rains and Floods

It’s not uncommon to hear torrential rains causing major flooding throughout the states.

Many believe that flood insurance is only necessary if you live in an area that is more likely to flood.

In fact, the Federal Government now requires you to have flood insurance if the odds of flooding are greater. But flooding can happen to anyone at any time. Keep in mind that water damage and flood damage can be different.

Water damage covered under a homeowner’s policy does not compensate you for damage to structures due to flooding, so your options are small.

With the signing of the Homeowner Flood Insurance Affordability Act, there was a number of changes to the way flood insurance rates are determined. If you are a homeowner and receive financial assistance from the government due to a declared disaster, you may be required to purchase flood insurance. If you sell your home, you are required to inform the new owners that they must maintain flood insurance. If you are a renter and receive assistance, you must also retain a policy.

Many flood insurance policies will tailor your rate to a specific area. If you purchase a policy today, there may be a 30-day waiting period before the coverage is in effect. New homeowners with a less than 30-day closing date may be an exception.

Talk to an insurance agent today that can answer your questions.

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