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Flood Insurance in Florida – Know Your Risk Before Buying a Policy

flood insurance quote Miami

There is never getting away from floods when they happen. Almost the whole of Florida is a flood zone. You need to be concerned about that since flooding can cause devastating losses to you. The restoration costs alone could run into thousands of dollars for a couple of inches of flood.

On the other hand, a flood insurance quote in Miami can be yours for free!

Without an insurance policy, you will have to bear those costs from your pocket. Even if the floods are declared as a federal disaster, you will not get a higher grant than a couple of thousand dollars. So, you need a good flood insurance policy that can cover a maximum of your losses and keep your personal investment for restoration at a minimum.

Flood Insurance is Exclusive

No matter how comprehensive your flood insurance policy is, it will not cover the damages that floods cause. You need an exclusive flood insurance policy that covers damages caused by floods. This policy could cover you from damages caused by storm floods, or by floods caused by lakes, rivers, or other water bodies.

How High Risk Are You At?

Even though entire Florida is a flood zone, your area may be one that is at less risk than most. This means your flood insurance premium will be less than what people in other areas pay. Likewise, if your area is at a higher risk, your flood insurance premium will be on the higher side. The insurance company you choose, though, can affect the final premium you have to pay for flood insurance coverage.

Which Insurance Can Cover You Best?

Standard Flood Insurance Policies: If your community participates in the National Flood Insurance Program (NFIP), you qualify for the benefits that are covered by this plan. The insurance premium is minimal and the benefits are set to cover most of the damages caused by a flood.

An NFIP entitles you for:

  • Coverage of up to $250,000 for any damages caused to the structure of your house
  • Coverage of up to $100,000 for any damages caused to the items you had inside the house at the time of the flood

At the same time:

  • NFIP does not provide coverage for damage to items or areas outside the house
  • The kick-in period for NFIP coverage is 30 days from the date of buying the policy
  • You cannot make changes to the policy and items and areas it covers

Despite that, NFIP is sought by most because it’s a federal plan and hence offers a better assurance of coverage than the rest.

But what is your option if you need a higher coverage value or if you want to add or remove certain covered items which can affect the final premium?

Private flood insurance policies in Florida were introduced not long back, but they have become the best alternative to NFIP already. These are highly favored by many since:

  • The coverage goes up to $1 million for structure and personal items combined
  • You can include or exclude certain items covered under standard NFIP policy
  • The kick-in period is less than 30 days; some insurance companies also offer policies going into effect immediately
  • You can benefit from competition between many private insurers serving the area

Another difference between NFIP and private flood insurance companies in Florida is that the former does not provide any alternative accommodation provision while house repairs are going on. Not all, but a few private insurance companies do offer financial help to survive that period.

So, don’t wait until the last moment to buy flood insurance. You might not get the chance to buy a policy then. Prepare today, and secure your future for good.

Get a free flood insurance quote in Miami and other details by contacting your area’s leading insurance company today.

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