As a homeowner, you should know that your standard home insurance may not cover certain damages caused by flood and hurricanes.
In fact, flooding caused by hurricanes is often excluded from the standard home and renter’s insurance policies. In this case, you should consider purchasing separate flood insurance.
This way, you will be able to cover your home and its contents in case of hurricane damage. You will be able to file a claim and receive proper compensation.
Does My Flood Insurance Cover Hurricanes?
Yes, it does. Your standard homeowners insurance covers some forms of water damage, like burst pipes, but excludes storms or flooding due to hurricanes. And this is where the flood insurance add-on policy comes in. If you live in a location prone to hurricanes, you should purchase this add-on and include it in your policy.
It includes a separate premium and deductible and adds to the total price you will pay for home insurance. If you purchase a home in a high-risk flood location, such as Louisiana, Texas, South Carolina, North Carolina, or Florida, with a federally backed mortgage, you are required to purchase this add-on coverage. The deductible is applied to your standard deductible when you file a claim related to hurricane damage.
How does Flood Insurance cover Hurricanes?
Just like I have mentioned above, flood damage caused by a hurricane may not be covered by the home policy. Instead, you might have to purchase a separate flood insurance policy that covers storms and water surges from natural disasters. It is even advisable to consider this coverage if you don’t live in a location that hasn’t been zoned as high-risk.
The flood policies from FEMAS’s National Flood Insurance Program offer coverage for dwellings and its contents. However, if you want to purchase over $250 in building coverage or other additional living expenses coverage, you will need a policy from a private flood insurer. You can purchase this coverage as excess coverage added to your NFIP policy or as a stand-alone policy.
How Much Does Flood Insurance Cost?
Keep in mind that the cost of this coverage varies based on your house location and whether it is your primary residence or a secondary house. Secondary houses are more expensive to insure. Also, the cost may depend on the type of insurance company you choose.
Note that this coverage is very similar to windstorm insurance. It should be bought in advance of any anticipated storms, as it may not be effective for a month. If you live in a place that may be affected by hurricanes, you may not be covered if you wait until a warning is issued to buy the coverage.
When Does My Renters Insurance Cover Hurricane Damage?
Just like homeowners insurance, your renter’s policies will cover some hurricane damages, as long as the event is not excluded from your policy. Renter’s policies also don’t cover flooding due to hurricanes. So, policyholders may need to purchase a separate policy to cover this damage.
A standard Renters policy won’t cover hurricane damage to the outside of the building your apartment or condo is located in. Your landlord’s insurance will have to come in. Plus, if your apartment has suffered hurricane damage, you would only have to pay your standard deductible. There won’t be any hurricane deductible for Renters policies.
Will Flood Insurance Cover My Car’s Hurricane Damage?
One of your items that might not be covered by flood homeowners or renters insurance is your car. Whether it is damaged by a hurricane, storm, or other damage added to your home policy, damage to your car from a hurricane will be covered by your auto policy.
Your auto insurance will cover it as long as you have comprehensive coverage, which pays for any car damage that is not caused by a collision, including theft, weather, and vandalism. Comprehensive coverage is not legally mandated. So, if you only have liability coverage, you will have to pay for vehicle damage out of your pocket.
Where Can I find Flood Insurance?
You can easily purchase flood insurance coverage from your broker or agent through the NFIP (National Flood Insurance Program), which is controlled by the Federal Emergency Management Agency (FEMA).
It will be made available to any homeowner who lives in NFIP-participating locations. Discuss with your private insurance provider or agent how to add this coverage to your home insurance or renter’s policy. You can also choose to purchase it as a standalone policy.
