| There are many risks that people are | | | | you, as well as any other home loans you |
| accustomed to insuring against. These will | | | | already have. They will also require you to |
| include, health insurance, auto insurance and | | | | carry flood insurance in the future. The |
| fire insurance. There are others that are | | | | other thing about the Federal Emergency |
| less familiar, such as dental and flood | | | | Management Assistance program is that it only |
| insurance but there are many reasons why you | | | | kicks in if your area and flood are declared |
| should reassess the insurances you currently | | | | a federal disaster site. This can be fairly |
| have in place and perhaps consider relocating | | | | rare when compared to the amount of floods |
| them to cover the risks that you are most | | | | that are experienced annually. |
| afraid of experiencing. | | | | |
| | | | Flood insurance will be offered by various |
| For example, did you know that losses due to | | | | insurance companies but should be backed by |
| floods are thirty times more likely to occur | | | | the National Flood Insurance Program. This |
| than fire losses? This is especially true if | | | | type of coverage, which is supported and |
| your home is located in a flood prone zone. | | | | regulated by the federal government, is the |
| While flood loss is generally less | | | | only type of flood insurance that will fully |
| devastating than fire loss, if your home is | | | | protect your home and contents from rising |
| located in a flood prone zone, the chance of | | | | water flood insurance. |
| even experiencing catastrophic damage is | | | | |
| still 25% greater from flood than from fire. | | | | Shop Around |
| | | | |
| Flood loss | | | | If you are considering taking out a policy of |
| | | | this kind, shop around for the best rate and |
| Most basic home insurance policies do not | | | | find out what is covered and what is |
| automatically include flood loss as standard. | | | | excluded. It may be that a specific |
| Commercial property policies are the same, | | | | company’s exclusion is |
| with flood loss only being covered if it is | | | | exactly the situation in which you require |
| specifically mentioned in the policy. If the | | | | coverage and other companies may not have the |
| flood is extremely severe, it may be | | | | same exclusion so you are wise to shop |
| classified as a disaster site by the federal | | | | around. Also, all insurance companies vary in |
| government. This will cause some protection | | | | what they offer and what they charge. Do not |
| to be made available in the form of loans. | | | | accept the first offer or quote you receive |
| These loans, which come through the Federal | | | | and do not expect all companies to provide |
| Emergency Management Assistance program, are | | | | the same deals. You should always shop around |
| not like insurance however, as you are | | | | when it comes to insurance and find yourself |
| required to pay back the loan that they give | | | | the best deal available. |