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March 30, 2022

Flood Common Misconceptions

Most people think that they must shop around to get the best flood insurance rate.

TRUTH: NFIP flood insurance premiums will be the same, as long as each company is provided with identical rating information. However, non-NFIP flood insurance policy premiums may vary.

Most people that that buying flood insurance in advance isn’t necessary. I’ll be covered if I buy it the day before a hurricane hits.

TRUTH: NFIP policies generally have a 30-day waiting period after purchase before they take effect. One exception is if the policy is purchased as a requirement from a lender.

Most people think that they don’t need flood insurance, I can just get disaster assistance.

TRUTH: Disaster assistance is only available after a presidential disaster declaration, and typically comes in the form of a loan that must be repaid with interest. You may be entitled to Individual Assistance but usually only basics like food, water, and housing are covered.

Most people that that since they don’t live in a flood zone, I don’t need flood insurance.

TRUTH: Your flood zone is not the only factor that determines your flood risk. Many other factors, such as recent construction, fires, a breached dam, or oversaturated land, can lead to flooding. On average, 40% of NFIP claims come from outside high-risk flood zones

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