Flood Insurance Cover: Do You Really Need one?

Published: March 10, 2018

Updated: May 15, 2018



Do you really need flood insurance coverage? That will be determined by the location of your residence, whether you are in danger of flooding and how the cost of your property compares to the cost of insurance.

Damages due to flooding often remain long after the actual flood has receded. This may be in the form of mold growth, permanently damaged furniture, and structural support.

Understand that if your home was destroyed by a surge in ocean storm, any insurance firm could consider the cause of the damage to be flooding thus leaving you homeless and uninsured. Increasing temperatures could trigger a rise in the ocean level and irregular weather patterns. This could result in greater intensity of storms across the world for many years, according to many climatologists.

You alone can decide whether to buy flood insurance. If you reside in a flood prone area, you may need to ask for a quote by phone or on the internet. Getting an insurance quote is free of charge, so you have nothing to lose by asking. You might be amazed by the deals you will get.

Your normal insurance policy may cover storm damage but fail to indicate the type of storm damage so that you will be able to repair the damage from both wind and water with a single insurance payment. This is generally not the case as insurance companies will prefer to pay you as little as possible. It is common to find that you will not be able to solve damages related to wind as this occurs in the place and at the same time as flood damage.

If flooding caused a shortage in your electricity supply, you may receive compensation for appliance damage and spoiled food. This however applies only to electrical damage caused by hurricane. If river overflow or heavy rains cause the electricity to stop working, you may not receive any compensation.

Apartment renters and owners of condominiums may fix common areas if the condo co-op or landlord has a flood insurance policy cover on the building. Except each apartment in the building has flood insurance, damage due to water will not be covered for your own apartment.

If your house is rendered uninhabitable by flood, your standard policy may include extra living expenses. Such expenses include finding temporary shelter and expenses beyond weathering displacement. Typically, the amount of money given for extra living expenses is 20% of your insurance policy.

According to the National Flood Insurance Program, a flood is defined as partial or complete inundation of dry land as a result of mud flows, overflow of inland waters, and speedy accumulation of surface waters from any source.

Flood insurance typically covers:

  • Debris removal
  • Damage to or resulting from plumbing and electrical systems after a flood
  • Carpet damage and repairs
  • All damages to detached garages
  • Any structural damage due to flooding
  • Cabinetry, wood paneling and furniture damage
  • Damage to appliances, cooling and heating equipment
  • Unavoidable mold damage or mildew due to flooding
  • Damage to personal items such as electronics and jewelry