EVERYONE IS AT RISK. Flooding is America's most common natural disaster. Yet it is
not covered by most homeowners insurance
THE RISK IS REAL. Truth is, you can live miles away from water and still be a victim of
flooding. In fact, nearly 1 in 4 flood insurance claims are paid on policies in
low-to-moderate risk areas. That's because it doesn't take a major body of water, or
even a major storm, to cause a flood. Anything from a broken sewer line to a slow
moving rainstorm can cause flooding. Bottom line, your home has a 26% chance of
being damaged by a flood over the life of a 30-year mortgage.
DISASTER AID IS NOT OFTEN AVAILABLE. Many people don't think they need flood
insurance because they believe federal disaster assistance will bail them out. But
floods are not always declared a federal disaster area. And even when they are, aid
is usually in the form of a loan which must be paid back with interest.
Flood insurance on the other hand, pays for all covered losses, and unlike loans, that
money does not have to be paid back. You can cover your home's structure for up to
$250,000 and its contents for up to $100,000.