How is flood insurance different than other kinds of insurance?
Flood insurance is an example of “single peril” insurance, as is earthquake insurance, and does not usually come along with a home owner’s insurance package. While your regular insurance agent may be able to help you get flood insurance, you shouldn’t assume it comes standard with your regular home owner’s policy. There are a number of very important questions you should ask your insurance agent before deciding on the flood insurance policy that is right for you. The first thing your agent will want to know is whether or not your home or business is located in a high-risk area. Your agent may even ask for an “elevation certificate”, a risk rating that helps builders ensure compliance with local floodplain ordinances and helps agents determine what types of policies are needed. Here are a few basic questions you should have in mind when discussing policies with your insurance provider: • Do I live in a flood zone? If so, how will my location affect the cost and benefits of my policy? •
