Flood Insurance

Three Important Facts about your Flood Policy

A standard flood insurance policy is a single-peril (flood) policy that pays for direct physical damage to your insured property up the replacement cost or actual cash value of the actual damages or the policy limit of liability, whchever is less.

Contents coverage must be purchased separately.
It is not a valued policy. A valued policy pays the limit of liability in the event of a total loss. For example your home is totally destroyed by a fire and it costs $150,000 to rebuild it. If your homeowner insurance policy is a valued policy with $200,000 limit of liability on the building, you would receive $200,000. Flood Insurance pays the replacement cost OR actual cash value of actual damages up to the policy limit.
It is not a guaranteed replacement cost policy. A guaranteed replacement cost policy pays the cost to rebuild your home regardless of the limit of liability. For example: Your home is totally destroyed by a fire and it cost $200,000 to rebuild it. If your homeowner insurance policy is a guaranteed replacement cost policy with a $150,000 limit of liability on the building, you would receive $200,000. Flood insurance does not pay more than the policy limit.

What is a flood?

A flood is (1) a general and temporary condition of partial or complete inundation for two or more acres of normally dry land area or of two or more properties from an overflow of inland or tidal waters, unusual and rapid accumulation or runoff of surface waters from any source or mudflow, and (2) a collapse or subsidence of land along the shore of a lake or similar body of water as a result of erosion or undermining caused by waves or currents of water exceeding anticipated cyclical levels that result in a flood.

Primary homes
Secondary/Rental homes
Mobile or Manufactured homes
Apartment tenants
Condominium owners
Businesses (all industries)