Do you have flood insurance? Five things to know
Posted July 19, 2016 6:14 p.m. EDT
Updated July 13, 2018 2:04 p.m. EDT
In a storm, flooding can become a big problem. Are you and your family prepared if it happens? Here are five important facts about flood insurance:
5. A standard homeowner's policy does not cover flood damage.
4. If you live in a high-risk flood zone, mortgage companies require flood insurance, but even if your area is not considered high-risk, you should still consider flood insurance. According to the National Flood Insurance Program, the average flood insurance claim for moderate- to low-risk properties was nearly $41,000.
3. Renters can also benefit from flood insurance.
2. Federal flood insurance may not cover everything. Policies through the National Flood Insurance Program top out at $350,000 to rebuild a home and replace belongings. So, depending on the value of the home, supplemental coverage may be needed.
1. A policy has to be in place for 30 days before it takes effect.