Think you don’t need flood insurance? Perhaps you don’t live near water, or maybe you have a great homeowners policy. The truth is, every home is at risk of flooding. Before passing on flood coverage, here are five things you should know.
1. Every home is in a flood zone.
According to the National Flood Insurance Program (NFIP), nearly 20% of all flood insurance claims are made by homeowners living in areas considered a low risk for a flood. That means regardless of whether your mortgage company required you to purchase flood insurance, your home is at risk for flooding.
2. No homeowners insurance policy covers flooding.
It’s a common misconception that homeowners insurance covers flood damage, but the truth is only flood insurance covers flood damage. Without it, the cost of the damage comes out of your pocket.
3. You can’t rely on the federal government to pay for flood damage.
Federal assistance is only available if the president declares an area a disaster. Even then, the assistance is not compensation for your losses, but rather a low-interest loan that requires repayment with interest, along with your mortgage.
4. Flood losses are costly.
Most people don’t realize that just a few inches of floodwater can do thousands of dollars worth of damage. In a 2,000 square foot home, one inch of water can cause as much as $27,000 or more in damage to your home and its contents.
5. Flood polices are affordable.
AAA can help protect your home with rates starting at less than $1 per day.* In 2017 the average amount of flood coverage was $252,261, and the average annual premium was $707.
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Rates effective April 1, 2019. These PRP rates are for 1-4 Family Residential without a basement or enclosure. Other residential building and contents coverage combinations are available. Premium includes a 15% Reserve Fund Assessment, $25 Federal Policy Fee, Increased Cost of Compliance, and $25 HFIAA surcharge for policies covering primary residences only if the named insured’s primary residence is a single-family dwelling, an individual condominium unit, or an apartment in a non-condominium building. Add $225 to the HFIAA surcharge for all other policies. Add the $50 Probation Surcharge, if applicable. Deduct the Increased Cost of Compliance if the risk is a condominium unit.
Flood insurance purchased through AAA is underwritten by a participating insurer of the National Flood Insurance Program (NFIP). The NFIP is administered and regulated by the Federal Emergency Management Agency (FEMA).
* The full annual premium must be paid prior to policy inception. In certain circumstances, flood insurance can be canceled and a refund can be issued. For additional information about cancellation, please contact your agent.
Extreme weather can be devastating. Knowing how to prepare, as well as protect your family and property during and after a storm is crucial. The following list of guidelines has been prepared to help you better weather some of these unfortunate events.
Producing winds exceeding 155 miles per hour and heavy rainfall, hurricanes ravage coastlines and travel several hundred miles inland — causing cataclysmic damage. Hurricane preparedness can make all the difference in weathering this storm.
Hurricanes cause heavy rains that can cause extensive flood damage in coastal and inland areas. Flood insurance is the only way to financially protect your property or business from flood damage.
Evacuate if instructed by the authorities:
If you are unable to evacuate, go to your wind-safe room. If one is not available:
Tornadoes are nature's most violent storms, devastating a neighborhood in seconds and leaving behind severe and sometime fatal injuries. Our tornado safety tips can help protect you and your family survive these swift occurrences.
Watch — Tornadoes are possible in and near the watch area.
Warning — A tornado has been sighted or indicated by weather radar. When a tornado has been sighted, go to your shelter immediately. Stay away from windows, doors and outside walls.
Stock your shelter with flashlights, blankets, a radio, water, food and other needed supplies. If time permits:
Large hail can cause severe damage to your property. In some cases, it can even cause injury to you or those you love. Use the following precautions to protect your home and family.
Lightning can harm you and electronics in your home. It can strike as far as 10 miles from the area where it is raining during a storm. Tall clouds, dark skies and distant rumbles are all signals a storm may be on its way. If you see lightning, start counting. If you hear a rumble in 30 seconds or less, the thunderstorm is close enough to be dangerous.
Gusting winds can bring down trees, power lines and signs. They can also turn all unsecured objects into dangerous projectiles.
Winter storms can come on suddenly and last for several days, making everyday tasks nearly impossible. Preparation is the key to keeping your family safe and comfortable.
Extreme heat and cold cannot only be stressful on people, it can affect pets and your home as well. Taking precaution is the only way to ensure your family's safety and the integrity of your home.
Floods are one of the most common hazards in the United States and account for approximately 30% of disasters worldwide. Knowing how to protect your home and family is crucial in weathering this event.
Flood insurance is the only way to financially protect your property or business from flood damage.
Don't ignore warnings by driving past barricades. Don't drive through standing water on roads or in parking lots. If you must be on the road:
Dust storms arise when a gust front or other strong wind blows loose sand and dirt from a dry surface. Many times these storms can come on with no warning and are accompanied by rain and thunderstorms. Knowing what to do is crucial in weathering these storms.
With rain comes the risk of thunder and lightning. See our, Lightning Section for more information.