Flood Insurance for Homeowners: Beyond What Your Mortgage Requires 

Flooding can happen almost anywhere, and standard homeowners insurance doesn’t cover it. Flood insurance may lessen the financial impact of damage caused by rising water.

What Does Flood Insurance Cover?

Standard flood insurance includes two main types of coverage: dwelling and contents.

• Dwelling coverage may help pay for damage to your home’s structure, including walls, foundation and electrical systems.

• Contents coverage may pay for repairing or replacing appliances, clothing, furniture and other personal items if flood waters damage them.

Some private flood policies may also include loss-of-use coverage, which may pay for accommodation, restaurant meals and other living expenses if you must temporarily live elsewhere due to flooding.

Flood insurance does not cover everything. Policies often exclude coverage for moisture, mildew or mold that could have been prevented. Damage to landscaping and vehicles is also typically excluded.

Does My Mortgage Require It?

Flood insurance may be required by your lender if your home is in a high-risk flood zone. Your broker and lender can help clarify potential requirements.

How Do I Obtain Coverage?

Flood insurance can be purchased through the National Flood Insurance Program (NFIP) and some private insurers. You can buy it through your local insurance agent, even if your home isn’t in a high-risk area. There’s usually a 30-day waiting period before coverage begins, so don’t wait until a storm is on the horizon.

How Can I Save on Flood Insurance?

Flood insurance doesn’t have to break the bank. Here are a few ways to lower your costs:

• Elevate your home—Raising your home above the base flood elevation can significantly reduce premiums.

• Install flood openings—These allow water to flow through enclosed areas like crawl spaces, reducing structural damage.

• Update your elevation certificate—A current certificate can help your insurer assess risk more accurately.

• Choose a higher deductible—This lowers your premium, though you’ll pay more out of pocket if you file a claim.

• Shop around—Private insurers may offer competitive rates compared to NFIP policies.

Get Covered Today

Explore flood insurance policies with AMCO Gulf LLC. Our agents can recommend coverage suitable for Houston, TX residents. Contact us today to get started.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.