Homeownership brings with it risk and that’s why homeowners have insurance policies. These protect against things like fire, theft or vandalism. Another hazard, flooding, is typically not covered by standard homeowner policies, though in some parts of the country, flooding can be a dangerous and damaging threat. Flood insurance on the east coast is often purchased because there is so much potential for flooding.
Flood insurance generally covers property and personal contents. This includes plumbing and electrical systems, appliances, clothes and electronics.
FEMA has declared that all 50 states experience flooding and about 20 percent of claims come from low to moderate-risk regions. You can purchase flood insurance anywhere but in some high-risk regions, mortgage lenders may require it. FEMA has a Flood Maps page in which you can enter your address to learn about the flood potential in your region.
In the last decade, severe storms and a rising ocean have increased flooding potential in some east coast states. In Florida, for instance, sea levels are rising about an inch every three years, which has led to a flooding increase of over 300 percent in some regions. This is why flood insurance on the east coast is so important.
Flood insurance is a good idea for any homeowner who lives in a region that experiences a moderate to high-risk of flooding. Though it is not necessarily covered in a standard policy, it can be purchased through your insurance agent.