A lot of people make the mistake in believing that their homeowner’s policy has them covered in case of a flood, or just think that a flood won’t happen to them. The Federal Emergency Management Agency, better known as FEMA, which is in charge of the flood insurance program, says that flooding happens almost every day—almost everywhere, and has racked up costly losses that are usually billions of dollars.
The fact is that flooding is the nation’s most common natural disaster, making up about 90 percent of all disasters in the US and occurs in all fifty states. There is almost a thirty percent chance that a homeowner will be the victim of some sort of flooding during the time of their thirty year mortgage. Not all flood damage comes from major storms; they can just as easily occur from overburdened and/or clogged drainage systems as well as drainage from new developments. Surprisingly, water run off can multiply as much as six times when land is paved over because the natural ability for water to be absorbed in that area is taken away.
Some people get fooled into thinking because their home is in the “100 year flood plain” means that they don’t need flood insurance, and they are wrong. The “100 year flood plain” just means that a home or business has a one percent chance of flooding every year, not once every one hundred years.
Every part of the US is mapped out and puts the homes and businesses into one of two categories, high risk and low risk flood zones. By law all federally insured and regulated lenders have to get flood coverage on properties in high risk areas. These high risk areas are where there is a chance one percent or higher chance that flood will happen in a years’ time and a lender must tell the property owners/potential owners what category they are in.
Everyone, including renters, can buy flood insurance for their home. Because the insurance program decides all the rates, there is no reason to look all over for the best deal. To get the best insurance deals and rates, please contact the Bachmann-Zeitlin Insurance Agency, today!