Flood Insurance Policies
There is no way to ensure a home won't be struck by a sudden flood. You might be sitting inside your home in the middle of a months-long drought with the sun beating down on a hot day, and the water heater down the hall might suddenly rupture, spewing gallons of water each second. Or a water pipe inside a wall might burst, damaging costly structural components and possibly shorting out electrical circuits at the same time. The worst type of flooding occurs when there is a heavy rainstorm and municipal sewage and drainage systems back up into homes, creating incredibly foul problems for homeowners and their families. But it is possible to protect against flooding with the right kind of insurance coverage.
When you insure your home against flooding, there are two kinds of policies needed. One likely will be included with standard home insurance policies but also might need to be purchased as an additional rider. That is protection against types of internal flooding. External flooding, like what happens when a levy suddenly breaks or a dam no longer can hold back the rising waters, requires a completely separate flood insurance policy. Rates for the federally backed program have been going up in recent years to help balance a multi-billion dollar debt built up after Hurricane Katrina demonstrated how suddenly flooding can occur, so it is crucial to explore your options, now more than ever.
People living in federal designated flood zones must buy insurance against flooding, and officials working for the Federal Emergency Management Agency have been expanding their flood maps, placing many more homes in high-risk areas, including some located in places where floods have not occurred in decades.