The state of emergency declared in May 2019 after the Lake Ontario flooding has many consumers thinking about how to prevent future financial loss. The New York Government has taken action to assist people in need, but many of them may have been better off having flood insurance before the disaster.
One misconception is that floods are covered in a homeowner’s insurance policy. However, these are two separate types of coverages. People seeking to protect their homes may need to remember why flood insurance is so important. Hudson Valley Insurance explains this.
1. Coverage in and out of flood zones
Whether you live in an area designated as a flood zone or not, there always is at least a slight risk. Even if it never flooded in your area in the past, it could happen. Don’t be left unprepared even if not living in designated flood zones.
2. Expenses paid if a disaster hits a low-risk area
It may be an area where the chance of flooding is possible but at a lower risk. Some people might opt not to obtain this type of coverage, but it could cost you in the occasion of a flood – even if the damage would be less severe than in a high-risk flood zone.
3. To compensate for limitations on homeowners policies
Your homeowner’s policy probably covers just about all aspects of accidents and disasters. Still, it only provides so much help to people owning houses in flooding areas. The flood insurance would also include cause of any water damage in your home and not just the damage itself.
4. To prepare for climate change
It happens sometimes. Inclement weather comes in an area where it may not be expected at all because it was always moderate. Either that or perhaps floods take place in a location that has not experienced this climate trend in say hundreds of years.
5. Assurance of full replacement cost coverage
Inflation never stops. You want to have the confidence that the cost to replace your assets will be covered decades into the future. Flood insurance can help with that.
Hudson Valley Insurance, serving Stony Point, NY, has policies that can fund just about any disaster repair, including flood damage. Contact an agent today to learn more about flood insurance.