Do you know that homeowner’s insurance does not cover floods? For insurance purposes, a flood is a natural disaster that affects several properties. It is more than just water damage to one home. If you do not have specific flood insurance, then you have no coverage if a flood damages your home.
Water can damage your home and personal possessions. A bad flood can cause thousands of dollars worth of damage. And flood insurance is coverage that protects your property and everything in it from water damage following a flood.
This coverage is recommended for people who live in areas at high risk for floods. If your property is at high risk of floods, you’ll pay a higher premium compared to other property owners.
Some insurance companies might include flood insurance as an automatic add-on to homeowner’s insurance. Some might also allow you to opt out of the plan if you feel it is unnecessary. In any case, read your policy carefully to see if floods are a covered peril. If not, you might consider separate flood insurance.
People who live near large bodies of water usually are recommended to have flood insurance. Also, people in hurricane areas usually get this coverage as well. Speak with an insurance agent to see if you should get this coverage.