Watch out for these top problems with flood insurance
Watch Out For These Common Flood Insurance Limitations
If you live in a floodplain, you need flood insurance. But not all flood insurance policies are created equal. Too often, homeowners and business owners will purchase a flood insurance plan without knowing all the details listed in the fine print, and those details can be the difference between getting the protection you need in an emergency or being left out in the rain.
When you’re looking at flood insurance policies, watch out for these common hidden limitations that can come back to bite you if you ever need to file a claim.
One of the most significant issues with flood insurance is the limited coverage it offers. Typically, flood insurance policies focus on structural damage caused by flooding, leaving out valuable personal belongings and possessions. Homeowners may discover that their policy fails to adequately cover furniture, appliances, and other high-value items, leaving them with substantial out-of-pocket expenses.
Confusing Policy Exclusions
Flood insurance policies often contain numerous exclusions that can be difficult for policyholders to understand. These exclusions may include coverage limitations for certain types of property, such as basements or crawl spaces, or damages caused by mold or mildew resulting from the flood.
Policyholders may find themselves in challenging disputes with insurance providers over exclusions they did not know about, piling additional stress and frustration on top of dealing with the flood damage itself.
Flood insurance policies typically impose waiting periods before coverage takes effect. Waiting periods can range from 30 days to several months, depending on the policy, leaving homeowners vulnerable to flood damage until the waiting period is over. The best way to avoid falling victim to a flood during a waiting period is to purchase flood insurance as soon as you purchase your home, just in case.
Not Getting Flood Insurance At All
Some homeowners may not realize that their regular homeowners’ insurance policy does not cover flood damage. This is often a tragic tale of “I didn’t know until it was too late,” leaving the homeowner with potentially hundreds of thousands of dollars in damage to their home, property, and belongings that they must pay out of pocket. Flood damage is not covered by homeowners insurance, which is why the National Flood Insurance Plan was created.
Need Help Finding and Understanding Flood Insurance?
When a disaster strikes, you want to be completely sure that you are covered against the devastating financial effects of a flood. When you need to put your life back together again, your flood insurance should be there for you.
The flood insurance experts at Edwards Insurance Agency in Taylors, SC, have helped thousands of residents of South Carolina and the Southeast protect their families’ most valuable assets with flood insurance. We’d love to help you, too. If you’ve got questions about flood insurance, need to find a policy that fits your budget, or just want to know if the coverage you have today is enough (and with skyrocketing property values, it may not be), give us a call today. We’re always here to serve your insurance needs!