Don’t need flood insurance? Think again.

The spring flood season is just around the corner. According to FEMA, floods are the most expensive type of disaster in the U.S., and everyone should have a home and/or business safety plan that includes flood insurance.

Flood insurance does not just cover damage from excessive rains or bodies of water that reach flood stage. It covers water damage in general, including a malfunctioned sump pump, burst or broken pipe or a leaky roof. Even if you do not live in a flood-zone, having a flood insurance policy can help save you money when it comes to the high costs associated with recovering from water damage.

Myths and Facts about Flood Insurance

Myth: There is no way a flood will ever happen where I live.
Fact: Nearly 25% of flood insurance claims occur in areas that have a low to moderate risk of flooding. While it may not rain a lot where you live, the pipes in your home or office to a broken sewer line can cause water damage at any moment. Moreover, you do not need to live in a flood-zone to purchase flood insurance.

Myth: Flood insurance is an expense I cannot afford.
Fact: It is cheaper to pay for flood insurance than to pay for flood restoration services out-of-pocket. Additionally, the farther away your home or business is located from a flood-zone, the cheaper a flood insurance policy costs.

Myth: If there is a flood, federal assistance will help pay for the flood recovery expenses.
Fact: Federal assistance is often not available for more than 50% of community flooding incidents. Before a community is eligible for federal disaster assistance, the President must declare it a disaster area, which could take several weeks. Disaster assistance is then generally provided in the form of a loan that includes interest. When you have a flood insurance policy, the only thing you may need to pay is the deductible—an amount you can choose when you purchase a policy. In the event of a flood, a flood insurance policy will provide the funds to pay for the flood remediation expenses, such as drying wet documents and replacing water-damaged items.

When it comes to flood insurance, it is not a question about whether you may experience a natural disaster or not. The real question is if you can afford to pay the thousands of dollars associated with recovering from water damage.