It’s April! Of course you know that means you should expect tropical-style rain for the next few weeks, thus arousing the topic of Flood Insurance (and when to start planting your Wisteria). Rhode Island property owners in high hazard flood areas are usually mandated by their mortgage company to purchase flood insurance. That does not mean that Rhode Islanders in low hazard areas should not also purchase the coverage but the truth is that many feel they don’t need it or they make the mistake of thinking home insurance also causes flood damage. Let’s face it, we aren’t called the Ocean State for nothing people. If you live in this state, you should at least consider the need for flood insurance.
RI flood insurance cost can be as little as $500 per year depending on where you live and how much coverage you need. Obviously home owners near the coast or in high hazard river flooding areas, will pay more for flood insurance than those in low risk zones. The major factors involved in determining the price for your flood insurance is the FEMA flood zone you are in, the amount of building coverage you need, and whether or not you want to include coverage for your belongings. FEMA has declared floods the #1 natural disaster in the United States. On top of that, 20% of flood insurance claims arise from properties in low hazard flood zones. So dt write off flood insurance if you are in a low hazard zone. Lucky for you, you can get the valuable protection at the fraction of the price for many others.
Even an inch of water in your home can thousands of dollars in damage. Although the damage is being done to your house and property, homeowners insurance will not cover this, only flood insurance will. Flooding is usually defined as an excess of water on land that is normally dry. The National Flood Insurance Program defines it as “a general and temporary condition of partial or complete inundations of two or more acres of normally dry land or of two or more property (at least once of which is your property) from overflow of inland or tidal water, rapid accumulation or runoff of surface water, mudflow, or collapse of land along a body of water as a result of erosion or undermining caused by waves or currents of water exceeding cyclical levels.” In real words: If you have water in your basement an no homes around you do, then this is NOT a flood. If your pipe bursts and pours water into your basement, this is NOT a flood. But if April showers make your neighborhood streets look more like rivers than streets, this IS a flood and you need flood insurance.
It may seem like an unnecessary precaution, but would you rather be safe, or sorry? If you stop by our office or call, we’d be delighted to have one of our agents assist you in learning more about flood insurance (and maybe getting some)!