FREQUENTLY ASKED QUESTIONS

Do you need flood insurance?

  • 25% of all floods occur in areas that are NOT in the 100-year floodplain
  • Especially in the Gulf Coast area, everyone is subject to flooding
  • Flood insurance is not expensive for those NOT in the 100-year floodplain

Does my homeowner’s insurance cover floods?

  • NO!  You must purchase a separate policy for flood insurance

Does Federal disaster assistance pay for flood damage?

  • No.  Only if the President declares a disaster.  More than 90% of all disasters are not Presidentially declared.
  • Even when a disaster is declared, government assistance will not provide enough assistance to repair your house.  You must either have flood insurance or purchase loans.

What constitutes a flood?  

    Flood insurance covers direct physical loss caused by “flood.” In simple terms, a flood is an excess of water on land that is normally dry. Here’s the official definition used by the National Flood Insurance Program.

    A flood is (1) A general and temporary condition of partial or complete inundation of two or more acres of normally dry land area or of two or more properties (at least one of which is your property)* from a. overflow of inland or tidal waters; b. unusual and rapid accumulation or runoff of surface waters from any source; or c. mudflow. (2) Collapse or subsidence of land along the shore of a lake or similar body of water as a result of erosion or undermining caused by waves or currents of water exceeding anticipated cyclical levels that result in a flood as defined in A.1.a. above.

    *If ONLY your house floods, there is no coverage unless it is on 2 or more acres of normally dry land.

    What is covered for my building? 

    • The insured building and its foundation
    • Electrical and plumbing systems
    • Central air conditioning equipment, furnaces and water heaters
    • Refrigerators, cooking stoves and built-in appliances
    • Permanently installed carpeting over unfinished flooring
    • Permanently installed paneling, wallboard, bookcases and cabinets
    • Window blinds
    • Detached garages (up to 10% of building property coverage)
    • Debris removal
    • Your building is covered for Replacement Cost

    What is covered for my personal property?* 

    • Curtains
    • Clothing washers and dryers
    • Food freezers and the food in them
    • Carpets that are not included in building coverage
    • Personal belongings, such as clothing, furniture and electronic equipment
    • Certain valuable items such as original artwork and furs (up to $2,500)

    *Personal property is only covered at actual cash value and not replacement cost. 

    What is not covered? 

    • Damage caused by moisture, mildew or mold that could have been avoided by the property owner
    • Currency, precious metals and valuable papers such as stock certificates
    • Some personal property has coverage limits
    • Property and belongings outside of an insured building such as trees, plants, wells, septic systems, walks, decks, patios, fences, seawalls, hot tubs and swimming pools
    • Living expenses such as temporary housing
    • Financial losses caused by business interruption or loss of use of insured property
    • Most self-propelled vehicles such as cars, including their parts (see Section IV.5 in your policy)

    Am I required to purchase flood insurance?

    • You are usually only required to purchase flood insurance if you are in the 100 year flood zone AND you have a mortgage on your house.
    • However, some insurance companies require both homeowner’s and flood insurance policies if you are in a flood zone.

    How Do I Know If I Am In A Flood Zone?

    • When you purchase a flood insurance policy from us, we will determine in what flood zone your house is located.

    How much is flood insurance if I am not in a flood zone?

    • This is usually referred to as Zone X
    • The 2017 rate for Zone X is usually $450/year for $250,000 in coverage for your primary occupied house (dwelling) and $100,000 in coverage for your contents with $1,250 deductibles for each dwelling and contents.  
    • There is a surcharge for property that is not your primary dwelling
    • Homes in Zone X that have previously flooded may not qualify for preferred rates.

    Go to www.floodsmart.gov for the answers to many frequently asked questions.

    We've Got You Covered