7/17/2012 - Why residents even in low-risk areas need flood insurance
The Texas Department of Insurance recently issued a reminder to renters and homeowners that may be applicable to individuals throughout the country.
As noted by the TDI, homeowners and renters insurance
policies do not cover flood damage. As a result, many people who think that their home is not at risk for flooding do not realize that they are not covered until it is too late.
"About 20% of the flood insurance
claims that [the National Flood Insurance
Program] pays come from people who live in low-risk areas," TDI explained. "If you don't have flood insurance
, you'll have to pay for repairs out of your own pocket."
The Lone Star State's insurance department notes that the average flood damage claim for Hurricane Ike in 2008 - the last hurricane to hit Texas - was $67,000. During the past 10 years, however, the average flood insurance
claim paid in the U.S. was approximately $48,000, according to the Federal Emergency Management Agency.
To learn more about flood insurance
options from Selective
for low-risk areas, contact your agent today. You may even qualify for a Preferred Risk Policy (a low-cost flood insurance
policy) that provides contents coverage for a price that’s more affordable than you may think. To learn more, click here