What is Flood insurance?

Flood insurance is insurance that covers losses that were directly caused by flooding.
These losses can include
-walls
-floors
-plumbing
-electrical machines

Types of flood insurance

There are two types of flood insurance and these are…

Building insurance covers fixed structures in your home like sinks, bathtubs, pipes, and bathroom toilets.

Content insurance covers personal items inside the house that may have been damaged or destroyed as a result to flooding  

Who needs flood insurance?

Flood insurance is generally purchased by people who live in areas of high flood risk. This is generally associated with being close to the shore which can increase chances of flooding in your home. It is recommended that even if you live in areas of low to moderate flood risk that you still purchase flood insurance because proximity to shore is not the only thing that can lead to flooding. Unexpected flooding can occur for several different reasons within homes.

How much does flood insurance cost?

On average in America, flood insurance costs $819/year however, certain states that oftentimes bear higher flood risks or have higher costs of living have higher average flood insurance costs. For example, the average flood insurance cost in Connecticut is $1,590 per year but in Alaska the average cost for flood insurance is $454 per year.

Some other things to know about flood insurance

-Texas is the state that annually sees the most losses due to flooding

-once flood insurance is purchased, there is a 30 day waiting period before the insurance policy begins to take effect so do not wait till last minute to purchase flood insurance if an oncoming flood brings up anticipated losses 

-Most flood insurance policies are administered through the federal government 

Flood insurance over view

-Flood insurance covers damages or losses directly caused by flooding
-It is recommended for everyone to get flood insurance coverage (especially those who live in areas of high flood risk)
-Covers damages to fixed aspects within your home as well as personal belongings
-Costs $819 per year on average in the United States
-Mainly administered through federal government