Is Flood Insurance Worth It?

flooded house

Yep. For those of you not into reading the full article, I just wanted to make it easy for you. Yes, flood insurance is worth it. Oh, you want to know why? Okay, fine I’ll explain. Your homeowner’s insurance doesn’t cover damage caused by a flood (or earthquake, and by the way you should have earthquake insurance too). Homeowners Insurance covers fire, smoke, vandalism, burglary, liability, collapse, wind, and water damage among other fine print stuff. The thing is, water damage is not the same as a flood.

Remember when Harry and Marv decided it would be a good idea to be the “wet bandits” in Home Alone? That’s water damage, well it’s technically vandalism but you know what I mean. Water Damage is when water damages the inside of your home from a water pipe break, appliance leaking, rainwater getting through a roof or window, or overflowing bathtub. A “flood” on the other hand is when water accumulates outside and then enters your home from the ground level.

Usually when people think of a flood they think of what happens in a disaster movie like 2012 or The Day After Tomorrow, but a flood doesn’t need to be as dramatic as an overflowing river or tidal wave to cause a lot of damage to your home. For most homeowners, something as small as a few clogged outdoor drains can create a situation where water enters your home and causes a lot of damage. In many areas of the west San Fernando Valley some homes sit a bit lower than street level meaning clear drains is not enough to get water out of your yard.  

Thankfully getting a flood policy is relatively inexpensive for most folks and easy to get. Most flood policies available to homeowners through the National Flood Insurance Program and most likely available through the same insurance agent that handles your home insurance.

There are just a few things you should know before you buy flood insurance. First, a “primary” flood policy like the one available through the National Flood Insurance Program has a maximum coverage on your home of $250,000. To get more than $250,000 in coverage you would need to secure an “excess” flood policy at additional cost. Second, once you buy a flood policy there is a 30-day waiting period before the flood insurance is effective so you can’t go and buy flood insurance when you see a big rainstorm already in the forecast. Lastly, one of the triggers necessary for a flood to be considered a “flood” by insurance standards is the flooding must impact at least one other home in your area. If there is a giant storm and your home is the only one that floods, then flood insurance won’t pay.

Whether it be next week, next month or next year, we will probably get more of these atmospheric rivers. So yeah, flood insurance is probably worth it.

If you would like more information, please go to the solutions tab above and click “Get A Quote” or call 818-302-3060.