One of the most common misconceptions about home insurance is that it covers flooding. Home insurance may not cover the flooding caused by heavy amounts of rain or rivers or creeks spilling over their banks. In order to protect your home and belongings from this type of event, you need to purchase a flood insurance policy. Here at Armadillo Insurance Agency, serving the greater Austin, TX area, we want to help you select the right policy.
Here are a few of the factors you should be considering as you go about buying flood insurance.
Your Home’s Flood Risk Designation
One of the first things that you need to consider when you are looking to purchase flood insurance is your home’s flood risk designation. The higher your flood risk designation is, the more likely your home may flood, and the more costly flood insurance will cost. An insurance agent can work with you to determine the flood risk designation for your home.
What the Flood Insurance Policy Covers
The second important factor that you need to consider when purchasing flood insurance is what exactly the policy you are buying covers. Flood insurance may be designated as building only, meaning it only covers your home, or it may be designated as building and contents coverage, meaning it covers your home, as well as the contents inside of your home.
Get The Right Coverage For Your Needs
Flood insurance helps to protect your home and possibly your belongings in the event heavy rains cause flooding in your area, causing flood damage to your home. This is not something that traditional home insurance policies cover. If you are looking for a home insurance policy, the team at Armadillo Insurance Agency, serving the greater Austin, TX area, can help you. Call us now to obtain an estimate.
If you live in an area that experiences frequent floods, getting a flood insurance policy is prudent. However, you should know there will be some wait time before the flood policy takes effect. The wait time will be between 14 and 30 days, depending on whether you obtained your flood coverage through the National Flood Insurance Program (NFIP) or purchased a private policy.
When Does My Flood Insurance Policy Go Into Effect?
NFIP Wait Time
The wait time for the NFIP flood coverage to take effect is typically 30 days. However, some exceptions result in the waiver of the waiting period that you should know as an Austin, TX resident. These exceptions are;
- You buy new coverage or add to the existing flood policy due to a loan or mortgage
Banks traditionally require owners of mortgaged homes to get flood insurance, more so if the property is in a high-risk area. If you purchase flood insurance under this circumstance, you don’t have to wait 30 days for the coverage to become effective.
- If your home sits on burned federal land
The damage that wildfires cause can also increase flood risk in the affected areas. If your home sits on federal land that has been affected by wildfire, you will have 60 days to apply for flood insurance and get a wait time waiver.
- Your home was relocated to a special hazard zone
FEMA is responsible for assessing and establishing flood risk zones countrywide. If the area where your home sits is established to be a special hazard zone for floods by FEMA, you can purchase flood insurance with no wait periods.
Private Policy Wait Time
The wait time for private flood policies is usually 10 to 14 days. At Armadillo Insurance Agency, we recommend that you confirm this with your insurer. Keep in mind that the wait time exceptions listed above also apply here.
Call Armadillo Insurance Agency for expert insurance advice in Austin, TX.
You’ve likely heard of flood insurance, but might be unsure whether it is needed. Floods are the most commonly occurring natural disaster in the United States with only a few inches of water needed to cause extensive damage to your home and belongings. Flooding can be caused by a myriad of conditions including heavy rains, hurricanes, spring thaws, and the rapid accumulation of rain post wildfire. If your home is in a FEMA designated high-risk flood area and you have a mortgage on the property, then your lender is legally regulated to require that you carry flood insurance.
Generally speaking, your homeowner’s insurance will not cover flood damage so you’ll need to purchase a separate policy. Flood insurance is issued via the National Flood Insurance Program and managed by FEMA or can be purchased via a private insurer. Moderate to low risk flood areas are designated via the letters B, C, and X on FEMA flood maps while high-risk flood areas begin with the letters A or V.
Given that the risk of floods can change rapidly, FEMA works on an ongoing basis with communities around the United States to identify, map, and update flood risk. At Armadillo Insurance Agency in Austin, TX, we’ll work diligently to help identify if flood insurance is required in your area. Additionally, even if flood insurance is not federally mandated, we’ll help outline the pros and cons of having the coverage so you can make an informed decision. Give us a call today to learn more and schedule an appointment with an insurance professional.
Armadillo Insurance Agency provides coverage to the Austin, TX community. We help our clients find policies to protect their assets. We pride ourselves on offering the best customer service possible. We will help you assess your options and find coverage that aligns with your future.
Flood Insurance Guide To Help Texas Residents Find Coverage
As an Austin, TX resident, you are likely aware of the potential damage that flooding can cause. The South is prone to bouts of severe weather that could wipe out everything. In the aftermath of a hurricane, flooding may occur throughout the area. Consider the benefits of flood insurance. Flood insurance covers your property if it is damaged due to severe flooding in the area. Check to see if your home is included in a designated flood zone. Designated flood zones are areas that are likely to experience flooding at some point over a 12-month span. Even if your home isn’t a designated flood zone, Texas is home to unpredictable weather. Something could still happen when you least expect it, which is why flood insurance is an asset.
Keep in mind though that there is a difference between flood damage and other water damage. Flood damage is caused by an excess of water throughout the area. Your home may also be damaged due to drainage issues, a busted pipe, or a sewer backup. In most cases, flood insurance does not cover your home in these circumstances. Research the policy carefully before making a decision.
Armadillo Insurance Agency Can Help You Protect Your Assets
Visit our website to learn more information about flood insurance.