What You Need to Know About Flood Insurance
Millions of homes may have been damaged by the tropical depression in Florence that swept through the Carolina just over a week ago. As the flood waters are still high, it is difficult to assess the damage at this time; However, an economic research company preliminary estimates that Florence caused an estimated $ 40 billion in damage, CBS News reported.
With possible additional flooding, officials are warning people in certain areas of South Carolina that they may still need to evacuate . Once they return, they will begin the difficult recovery process.
Flood Insurance Fundamentals
According to CNN, only about 340,000 of the 7 million homes in North and South Carolina have federal flood insurance.
However, only flood insurance, not regular homeowner insurance, will cover damage caused by extreme weather. And as more of these events occur, it is becoming increasingly feasible for more homeowners to purchase flood insurance, even if they don’t live in a flood-prone area, according to Consumer Reports . According to FEMA’s National Flood Insurance Program (NFIP), “More than 20 percent of flood claims come from properties outside of high-risk flood risk areas .”
Flood insurance will cover major systems such as electricity, air conditioners, fuel tanks, water pumps, etc., household appliances, carpeting, and personal items such as clothing, furniture, etc. that are not stored in the basement … (For a complete list of the issues covered, see this article .)
There is a limit of $ 250,000 per building and $ 100,000 for property for federal flood insurance coverage and deductibles for buildings and their contents, which vary depending on your policy. You can purchase flood insurance from the NFIP or from a private insurer. According to FEMA, prices will vary depending on the year your home was built, number of floors, flood zone, etc.
What to do if your home has been damaged
If you suffered damage to your home during Hurricane Florence and need to file a claim, what to do:
- Wait for you to be allowed to return to your home. Although the hurricane has come and gone, it is still dangerous in many parts of the Carolina due to flood waters .
- Once it is safe to do so, contact your insurer, who will appoint someone to assess the damage to your property.
- Before your insurance agent arrives, make a list of anything that was damaged or lost during the storm. “Take photos and write down the date of purchase and the estimated value of each item,” CR suggests . If you have receipts, that’s even better. Make copies of everything before handing them over to the regulator.
- Show the proofreader all damages and get his personal information so that you can contact him in the future if you need to.
- Record every interaction with your insurance company, including dates, times, names of those you spoke to, etc.
- According to FEMA, the appraiser will provide you with “proof of loss, a copy of the building’s damage assessment, and a list of personal property inventory.” If you agree with what they offered, you will sign a loss confirmation form to receive payment. You can submit a modified Loss Proof Form at a later date if you find additional damage or more cost to repair than you originally thought.
“The customizer can give you a check on the spot to cover immediate costs such as changing clothes and medications,” CR writes. “But it can take weeks to get a full assessment of your damage and a final inspection.” You will receive an estimate in less than two months.
And beware of scammers, including regulators and contractors. They will take advantage of your vulnerable state.