Are you aware that your homeowners policy does not cover your dwelling or other structures for flood damage? 

• A separate flood policy must be purchased by a company that sells it for FEMA.

 

What is considered flood damage? 

• Examples: damage from water that enters your home from the outside like an overflow of a body of water, surface water, waves, or tidal water.  It could be water which exerts pressure on or flows, seeps or leaks through any part of a building, sidewalk, driveway, swimming pool or other structure.

 

Do I need flood insurance if I don’t live near any bodies of water or I’m not in the special flood zones?

• Here are some examples of flood damage that has happened and not covered by a homeowners policy:

1. A home located down the hill from a water main was damaged when the water main ruptured.  The water flowed down the street, into the yard and finally into the basement of the dwelling.

2. An intense storm dropped 4 inches of rain in less than an hour.  The storm drains could not handle the volume and overflowed into the neighboring yards and then flowed into the basements of the homes nearby.

 

Federal Disaster Assistance vs. Flood insurance:

• Flood insurance works like an insurance policy.  If you have a covered loss, the policy will pay for damages subject to the policy provisions, limits and deductible.

• Federal assistance is only available if the President declares the flooding event to be a national disaster.  No assistance is available to non-primary residences.

• Federal assistance comes in two forms:

1. A grant currently capped at $33,000 available when floods damage a primary residence and are intended to cover costs for shelter, food and clothing.

2. Loans made available through the Small Business Association for the costs of repairing the uninsured flood damage.  These are low interest loans that must be paid back.  In addition to obtaining the loan, a flood policy must be purchased and maintained for the life of the loan.

 

Flood insurance can be purchased for non-residential buildings.

Your insurance agency can quote a flood policy for you even if you are not in a flood zone as long as your community participates in the National Flood Insurance Program.

 

Call Jacob Insurance Service LLC at 260-665-3194 to determine your risk level or for questions you may have.  Or you can visit FloodSmart.gov