Hurricane season starts on June 1st and ends on November 30th. Now is the time to make sure you have the right coverage for your property and personal property. Below are some questions that are commonly asked about flood insurance.
Nearly a million property owners filed claims for various insured losses from Hurricane Irma, according to the Florida Office of Insurance Regulation, with estimated insured losses totaling nearly $8 billion. More than 750,000 of the 900,000 claims were made by residential property owners.
Why do I need flood insurance?
Homeowners and renters insurance do not typically cover flood damage. Congress has also mandated federally regulated or insured lenders to require flood insurance on mortgaged properties that are located in areas at high risk of flooding. But even if your property is not in a high-risk flood area, your mortgage lender may still require you to have flood insurance.
Do I need flood insurance if I am not in a flood zone?
Typically, people think they need flood insurance only if they live in a high-risk area. But more than 20 percent of flood claims come from properties located outside high-risk flood zones, according to FEMA. Make sure to check with your lender. They might require you to carry flood insurance even if you do not live in a high-risk area.
Talk to your licensed insurance agent about what is and isn’t covered by your policy. You will need to purchase property and personal property coverage.
What isn’t covered?
Typically, if it belongs in a bank or safe deposit box, it’s not covered. Here are a few items that are not covered below:
- Stock certificates
- Loss of income
- Swimming pools
- Fences and patios
- Trees and plants
How much does it cost?
The average cost is about $700 for a one-year premium; your insurance company, which issues the policy, can give you a quote. Ultimately, the amount depends on such factors as the amount of coverage, deductible, the risk level of your flood zone, and the age of the building.
What should I know about deductibles?
Deductibles apply separately to building and contents with different amounts to choose. (Remember to ask your agent if your contents are covered, as building coverage is only for the structure). As with other insurance plans, a higher deductible will lower the premium you pay but will also reduce your claim payment, meaning you will need to cover the difference out of your own pocket. Sometimes a mortgage lender will set a maximum amount for your deductible.
Is there a 30-day waiting period?
Typically, there’s a 30-day waiting period from date of purchase until your policy goes into effect.
Let Florida Best Quote but you at ease with all your questions regarding flood insurance. Call us today at
727-584-9999, the sooner the better cause June 1st is right around the corner!