Homeowners Insurance VS. Flood Insurance

Does Homeowners Insurance Cover Floods?

The spring seems like a good time to start alerting homeowners to the potential risks they may still face from floods, even with the best homeowners insurance company. That, of course, is the risk of water damage from floods, which may not be covered by a typical home policy.

Of course, let me start off this article with usual disclaimers. It depends upon your policy! No article I write relieves you of reading the fine print, or asking your agent, to find out exactly what is covered by your own insurer and specific policy.

Do You Have Flood Insurance?

Homeowners Insurance May Not Cover Floods

Repeat. Homeowners Insurance Policies do not typically cover flood insurance from storms. The misconception that homeowners would be protected by their regular home insurance policies has led to financial tragedy for many families. Meanwhile, according to floodsmart.gov, a flood insurance policy averages about $500 a year.

Where Does Flood Insurance Come From?

Congress created the national flood insurance program to provide home owners, business owners, and renters, with affordable flood insurance. It also does more, because it forces participating communities to take steps to lessen the effects of severe storms.