Smart Tips For Finding Options
2 weeks ago admin Comments Off on Smart Tips For Finding Options
Every year, no less than 75,000 Americans now flee their homes due to floods. no matter if this is man’s fault or not, you can be sure about one thing: you can protect yourself with flood insurance.
Below are ten flood insurance facts that you absolutely have to know:
Floods can happen anywhere.
People usually think only those who live in flood zones or close to bodies of water, need flood insurance. Truth is, anywhere it rains or snows, or any place with malfunctioning or inadequate drainage infrastructure, is not safe.
Flood insurance is available everywhere.
Many people think that just because their area rarely gets flooded, they can’t buy a policy. What they’re unaware of is that no matter where they live, there are many insurers, both online and offline, that are willing to protect them.
Homeowner’s policies do not protect against floods.
As a non-renter who is still paying down a mortgage, you probably have homeowner’s insurance as your lender’s requirement. But because this type of policy will not protect you against floods, you’ll have to buy a separate one.
Flood insurance is one of the most affordable insurance policies available. For example, to protect a property with a value of $60,000 to $70,000, you’ll probably only spend $500 a year.
Discounts are given to low-risk policyholders.
If you own a home in a low-risk area, you could be paying jus a couple hundred dollars a year, or not even a hundred if you’re renting.
Yes, there’s a waiting period just like other insurance policies.
In most cases, a flood policy will have about a 30-day waiting period before protection is provided. This is how insurers protect their interests against those who want coverage when a flood is close at hand.
Businesses can get flood insurance too.
If you keep expensive assets in a non-residential structure for a business that you own, you can get flood protection for these as well. To protect such assets, a flood policy may provide up to a $1 million coverage.
In some locations, flood insurance is actually a must.
If you live in a flood-prone area in a financed a property, you may have to purchase flood insurance as a requirement of your lender. Obviously, they need to protect the house in which they have equity.
Flood insurance is highly flexible.
There is no fixed rate when it comes to flood insurance, and you can get a policy based on the value of your assets. Larger value means larger premium.
Federal disaster relief is hardly sufficient – if at all given.
Lastly, the federal government may provide flood disaster relief but not until the president classifies the situation as a federal disaster. The sad thing is, this declaration is only given about 10% of the time, leaving most flood victims to their own devices.
We all know how devastating floods can be, so buying cover is always worth the cost. Not all policies and policy providers are the same, however, so do take time to review your options before making a final choice.