Flood Insurance- Secure Your Property From Natural Flooding Disaster

If you are living near a beach or a river, then there is a big possibility that you can face flood problem at any time in your life. So, in case of any such natural disaster, getting flood insurance is the safest and easiest way to protect yourself and your property.

Many of the home and property insurance plans do not provide any coverage for damage incurred during floods.Therefore, you must go for the National Flood Insurance Program.

The National Flood Insurance Program (NFIP) was created by the Federal Emergency Management Agency (FEMA) in 1968 to protect the homeowners from flooding and the damages caused by it. The NFIP also provides cheap flood insurance coverage to the homeowners, the residential renters, and the condominium unit-owners. In addition, it also provides coverage to the owners of residential buildings as well as to the non-residential properties.

The law states that, a flood may be caused by storms, heavy rainfall, hurricanes, flash floods, levee dam failure, clogged drainage systems, or melting snow. It is very important for you to check if your house or property comes in the risk area, so that you can get the insurance cover for your property if required. However, there are different types of risks for every area, so you should properly check before taking any action.

For the claim, you get two options to choose from - Actual Cash Value and Replacement Cost Value. Moreover, the flood insurance offers two types of coverage -

• building coverage  
• possession coverage.

 

The building coverage provides financial cover for damage to the following:

•    Building and its foundation

•    Electrical and plumbing systems

•    Fridges, cooking stoves and other built-in home appliances

•    Building’s central AC equipment, furnaces, and water heaters

•    Permanently installed carpeting in the house over unfinished flooring

 

The possession coverage provides financial cover for damage to the following:

• Clothing, electronic equipment or furniture in the house
•  Portable microwaves and dishwashers
•  Washers and dryers
•  Carpeting if not already included in property coverage

 

In addition, the flood insurance policies also cover different flood related expenses, which may include the cost of hotel stay and food while the home is being repaired.