Flood Insurance: How Can It Protect You?

 In Colorado Insurance Agency, Colorado Insurance Company, Colorado Insurance Professional

Although no one expects a flood to occur, sometimes it happens. And, unfortunately, it could happen at any time. In fact, floods and flash floods are the most common natural disaster, occurring in all 50 states.

They cause devastating damage to buildings and personal belongings–even in Colorado! Being protected with flood insurance is a way to avoid any issue when dealing with floods. Here are some basics you need to know to help you understand the importance of flood insurance.

The Basics

  1. Coverage. Most homeowners flood insurance policies cover around $250,000 in structural damage, with an additional $100,000 in coverage for content losses. Business policies, on the other hand, usually cover around $500,000 total in structural damage and content losses.
  2. Definition. A flood is generally defined as a temporary inundation (partial or complete) of at least two acres of land or two properties that are normally dry. To be covered, at least one of these must be your property.  The flood must come from an uncommon and quick accumulation, runoff, or overflow of waters.
  3. Water Damage. Water damage is all other water-related problems, including broken or cracked appliances or systems containing water (water heater; backed up sewers and drains) and rising water that may damage a basement. Water Damage is not covered by flood insurance.

Flood insurance is not as straight forward as it may seem, but with these few tips in mind, you can evaluate the damage and whether or not it will be covered. Get flood insurance today and protect yourself from even the most unexpected situations.

Photo credit: http://nj.usgs.gov/

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