Three Myths About Flood Insurance

Flood insurance is one of the many riders that can be attached to a current property insurance policy. This type of policy offers protection against damage that occurs from a flood. However, many Astoria, OR property owners may be confused about flood insurance due to the fact that there are so many myths that surround this particular type of coverage, leading individuals to not invest in it.

To help clear things up a bit, the team at Linda Dugan Insurance has put together some information that will help you in determining whether flood insurance is right for your individual situation.

Flood Insurance Is Standard with Your Homeowner’s Insurance Policy

Many people assume that their homes are properly protected under their home insurance policy in the event of a flood. However, most insurance companies specifically exclude this type of damage from the standard home policy. To ensure your property is properly protected against this hazard, a rider for flood insurance will need to be purchased for an additional fee.

Flood Insurance Isn’t Necessary Unless You Reside in a Flood Plain

A flood can occur absolutely anywhere. You do not need to live in a flood plain. In fact, roughly 20 to 25 percent of all flood claims are actually for properties that are outside of the designated flood danger areas. For example, if you live near a dam or levee, your property could be at risk.

Flood Insurance Isn’t Needed Because FEMA Disaster Aid Is Available to Everyone

Federal Emergency Management Agency (FEMA) Disaster Aid will only apply if the United States President declares the flood as a natural disaster. Even then, though, you generally have to repay the aid that you receive. However, flood insurance will pay regardless of the disaster status of the flood. In addition, you won’t have to worry about paying your insurance company the money back.

If you still have questions about flood insurance for your Astoria property, don’t hesitate to reach out to us. Linda Dugan Insurance is here to help you understand the various insurance options available to you, whether it is flood insurance or another form of insurance. Give us a call today!