Floods are the number one natural disaster in the United States. They happen in every state and territory and can cause massive amounts of damage. It is estimated that even one inch of water in your home can produce more than $25,000 in damage. Many different things cause floods, and the question of who needs to carry flood insurance is something that residents in and near Escanaba, MI should discuss with an insurance professional like the team at Luft Insurance Agency.
In the past, flood insurance was traditionally only available through the NFIP (National Flood Insurance Program). Flood damage is not covered by home, condo, or renters insurance. It must be purchased separately, and if you live in a high danger area, your lender may require that you carry flood insurance. But, high danger areas are not the only place that floods happen; at least 20% of flood damage occurs in the regions that are not considered to be high risk.
The NFIP does not sell the flood insurance directly, and it is available through designated agents who participate in their program. Today some private insurance companies also offer flood insurance coverage. However, before you consider getting private flood insurance, make sure that your lender will accept that coverage.
History of the area where you live may be a good indication of whether or not you require flood insurance. But, with climate changes happening across the country, areas that have previously not flooded have been affected by the rising water levels. Heavy snowmelt can also send rivers roaring over their banks, which happened in the spring of 2019.
If you are considering flood insurance in Escanaba, MI, the Luft Insurance Agency will be happy to discuss the options that they have available. Give the office a call or stop by to talk to a member of our team about this necessary coverage.