Home ownership can be very rewarding. While no one really wants to think about home insurance it can be one of the best preemptive strikes to protecting your investments, your home arguably being one of the most important. Whether or not you live in a floodplain area, you may be able to purchase flood insurance. Flood insurance services are provided under federal backing through the National Flood Insurance Program or NFIP for short. Those who choose to purchase flood insurance through this program do so in exchange for steps taken to try and reduce damages caused by floods in their communities. The following points are some of the best reasons to purchase flood insurance.
- Benefits received from the NFIP are fully yours to use in flood damage recovery. You don’t have to pay back what you receive from the program, nor do you have to worry about your insurance premiums increasing should you have to make a claim against your policy.
- Basement coverage includes the most expensive things that make your household functional. It can be stressful under normal circumstances when major home appliances like your washer or your furnace break down which is cause for repair or replacement. During an emotionally elevated time, it can be even more so. Flood insurance can provide some peace of mind by covering things like laundry machines, furnaces, pumps, freezers, and utility connections.
- You don’t have to worry about waiting for what feels like ages to receive claim payment. Under this particular type of insurance policy, you have the capability to request a partial advance on your benefit payment. In other words, as soon as the flood subsides you can get some money right away to help get repair and recovery jumpstarted. This can make a huge difference in getting back to normalcy more quickly.
- You can feel confident in knowing that assistance will be paid to you. A lot of insurance policies may have you worried about whether or not you will actually get reimbursed for the necessary expenses of recovery. The NFIP is federally backed. You will get reimbursed. The President doesn’t even have to declare a state of emergency for the flood insurance to be utilized.
- Don’t own a home? No problem. If you rent you are able to purchase renter’s insurance through the NFIP as well. Whether you are renting your home or apartment or a business space you can have your personal belongings covered by the policy.
One caveat of purchasing flood insurance with the NFIP is to do so in a timely manner. Plan ahead and make sure you have a general idea of when flood season starts (if you live in such an area) as you must wait 30 days before coverage kicks in. A second caveat is that your community must be a participant in the program in order for you to buy insurance through them. Not sure if your community participates? You can find out for sure by going to the Community Status Book. Talking with your insurance agency about your options can provide peace of mind in the present and in the future.