9 important facts you need to know about flooding and flood insurance

The Gulf Coast accident attorneys at Denena & Points note that the recent landfall of Hurricane Isaac, on the 7th anniversary of Hurricane Katrina, reminds us that flooding is the number one natural disaster hazard in the U.S. This sobering reminder is bolstered by data from the National Flood Insurance Program, created by the U.S. Congress back in 1968.

Flooding south of N]ew Orleans and fears of dam failures on the Mississippi River have kept evacuations in progress and left residents in fear since Hurricane Isaac moved ashore. But many homeowners fail to realize until it’s too late that their homeowner’s insurance policy might not cover flood damage. Wind damage, hail damage, and lightning damage are generally included in a homeowner’s policy, but not flooding. Our Gulf Coast accident attorneys point out that flood insurance requires a separate premium and sometimes a separate insurance policy.

Some of the important facts our Gulf Coast accident attorneys realize you need to know about flood insurance include:

• Flood insurance is available nationwide;
• You can obtain it if you live in a floodplain or a high-flood risk area;
• But you can’t obtain flood insurance if your property has been flooded before.
• Though most insurance policies don’t include flood protection, coverage can be purchased from the federal government.
• If you have a federally insured mortgage and live in a high-risk flood zone, mortgage companies will often require flood insurance to secure your loan.
• If you live in a high-risk flood zone and receive federal disaster assistance after a flood, you will be required to purchase and maintain flood insurance until your loan is paid off.
• If you don’t buy flood insurance and another flood damages your property, a request for federal disaster assistance could be denied.
• If you live outside a floodplain or in a low-to-moderate flood-risk area and you choose to but flood insurance just in case, you could obtain that insurance at a lower cost than people in high risk areas.
• Homeowners insurance is usually based on the cost to rebuild rather than the current market value of a home. So home and business owners should make their coverage focuses on replacement costs rather than on actual cash value of the building.

Start the insurance claims process as soon as possible. Contact your insurance company; provide photos of damaged property along with receipts for purchase amounts, and file your Proof of Loss form as soon as possible. The filing deadline might be 60 days or less, so don’t delay.

The emotional pain of flood damage and the challenges of the insurance claims process leave many flooding victims grieving over more than property loss. Read our Gulf Coast accident attorneys’ linked article on making insurance claims after a natural disaster to learn more about what kinds of photographs and documentation you need to facilitate a smooth claims settlement process.