Knowing the finer points of what constitutes flood insurance is in your best interest. As the Associated Press recently reported, the California city of Capitola was denied its claim after properties were damaged during an onslaught of two flash floods. It’s crucial to have a complete understanding of the nuances of your policy or policies.
Proactive California Flood Protection
Be proactive, making sure you and your agent discuss the difference between flood insurance and water insurance, as each represents a unique set of stipulations geared toward coverage of different events. Many policies do not cover damages due to a flood, but will cover other kinds of water damage, such as water leaking through a hole in your roof. However, if it is deemed that the water damage is due to homeowner neglect, such as poor maintenance and repair, then the insurance will most likely not cover the claim. It’s a case-by-case scenario, which means you need to be fully aware of the ins and outs of your water damage policy.
Even a low risk area needs flood insurance
According to FEMA, nearly 25% of all flood insurance claims come from low to moderate flood risk areas, so you are more at risk if your home is in an area prone to flooding or high-risk storms. Flood policies provide coverage for damage that is caused by an overflow of water onto land that is normally dry. Flash flooding is a prime example of such a water event. Therefore, if the water causing the damage made contact with the ground before entering your home or business, it is then considered flood damage.
The tenets of any policy can get a little sticky, particularly contrasts between water and flood policies, so be sure to review your insurance with your agent, asking any and all questions that may occur to you. We’re here to assist you. It’s what we do.
Our whitepaper on Flood Insurance: 10 Myths Dismissed takes the top 10 myths and blows them out of the water. After reading this you will have a clearer undrstanding of what flood insurance is and what it can do for you.