Here is some basic flood information.
Everyone lives in a flood zone. You dont have to live near water to be
flooded. Floods are caused by storms, melting snow, hurricanes and water
backup due to inadequate or overloaded drainage systems.
Flood damage is not covered by homeowners policies. You can protect your
home, business, and belongings with flood insurance from Brownell Insurance
Center -- up to $250,000 for the building and $100,000 for contents.
You can buy flood insurance no matter what your flood risk is. You can buy
flood insurance as long as your community participates in the National Flood
Insurance Program. It is a good buy even in low or moderate risk areas.
Almost 25% of all flood insurance claims come from low to moderate risk
areas.
There is a low-cost policy for homes in low to moderate risk areas. The
Preferred Risk Policy could be available for just over $100 a year. You can
buy up to $250,000 of coverage for your home and $60,000 of coverage for
your contents.
Flood Insurance is affordable. The average policy costs about $300 a year
for $100,000 of coverage. In comparison, a disaster home loan for $50,000
can cost you more than $300 a month over 20 years.
Contents coverage is separate, so renters can get flood insurance. Up to
$100,000 contents coverage is available for homeowners and renters. Contents
are not automatically included with the building coverage.
Up to a total of $1 million of flood insurance coverage is available for
non-residential buildings and contents. Up to $500,000 of coverage is
available for non-residential buildings and up to $500,000 of coverage for
their contents.
There is usually a 30-day waiting period before the coverage goes into
effect. Plan ahead so youre not caught without flood insurance when a flood
threatens your home or business.
Federal disaster assistance is not the answer. Federal disaster assistance
is only available if the President declares a disaster. Nine out of ten
disasters in the United States are not declared by the President. Flood
insurance pays even if a disaster is not declared.
Why do I need homeowners insurance?
For most of us, our home is the single biggest asset we will invest in. Homeowners insurance provides coverage for your personal belongings, coverage for damages to the structure of your property, and liability coverage which pays for bodily injuries and property damage to other people if you are liable.
Am I covered against losses due to fire, hail, lightening, tornadoes, wind storms, explosions, smoke, vandalism and theft?
Yes, Typically, your homeowners insurance covers a large number of perils, including all those listed. There are some limits, however, on the amount of insurance you have so you should always consult with Brownell Insurance Center.
Am I covered if a pipe bursts and water flows all over my floors?
Yes. Typically, homeowners insurance covers you for accidental discharge of water from a plumbing system. Check your plumbing and heating systems once a year. While you are covered for this type of damage, who needs the mess and hassle?
Am I covered for earthquake damage?
No. Earthquake coverage is available as an additional coverage to you homeowners policy. To determine whether you should purchase this insurance, talk to Brownell Insurance Center. In earthquake prone areas, the cost of this insurance is relatively high. In other areas, it is relatively inexpensive. In the New Hampshire area, this rider is relatively inexpensive.
