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3 Flood Insurance Myths, Explained

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Insurance may not be a fun expense, but it is an important one. While automobile insurance protects you financially if you are involved in an accident of any kind, homeowner's insurance protects your home in case of disaster or other types of damage. Unfortunately, flood insurance is not so easily understood. With this guide, you will learn the truth about a few common flood insurance myths.

Homeowner's Insurance Includes Flood Insurance

One of the most common myths people believe is that homeowner's insurance includes flood insurance. Therefore, if you have a homeowner's insurance policy, you do not need to worry about adding extra protection for floods.

In reality, homeowner's insurance policies do not usually include flood coverage, so talking to your insurance agent about adding extra coverage is imperative.

While it will be an added expense, adding additional flood insurance coverage will be a worthwhile investment.

Flood Insurance Not Necessary Because You Don't Live Near Water

Another myth you may believe is that flood insurance is not actually necessary because your home is not situated near any bodies of water.

If you live near the coast or a large lake or river, having flood insurance should be obvious. However, investing in flood coverage is also important if you do not live near any bodies of water.

Flood insurance not only protects beach homes and lake houses, though. If your home was flooded because of severe rain runoff. Heavy rain that lasts for multiple days can quickly flood crawlspaces and basements, causing enormous damage to your home that is costly to repair. Having this flood coverage can ensure you have the financial means to conduct repairs.

The Government Provides Financial Assistance in Flood Cases

If your home was flooded by a disaster, such as a hurricane or other storm, you may expect the federal government to provide you with all the funds you will need to repair your home. Unfortunately, the federal government does not always issue assistance to homeowners after storms and other disasters.

Not only is assistance not guaranteed, but there will be a long waiting period after the disaster before the government is capable of intervening. By having your own flood insurance and homeowner's protection, you can initiate claims and make repairs well ahead of the government's schedule.

Understanding flood insurance and its benefits is key whether you live in a flood zone or not. This guide will help debunk a few common myths. Contact an agency, like Amberg Insurance Center Inc, for more help.