Having the best kind of homeowners insurance policy in place means you’re covered for a lot of things in case something happens. But do you know which ones? What kind of coverage do you have in your standard homeowners insurance? Is it enough?
Bankrate quotes executive director, Carole Walker, of the Rocky Mountain Insurance Information Association: “Many people don’t take the time to understand what is and isn’t covered and mistakenly assume insurance will pay for any type of damage.” She adds that a great number of policyholders only learn about the types of damage they aren’t covered for when they finally make a claim. By then, the damage has been done.
Don’t think flood damage won’t ever happen to you just because you live away from the water or are in seriously low risk areas. The National Flood Insurance Program reports that 20 percent of homeowners who file for insurance claims actually come from flood areas that have been categorized with low to moderate risk levels. And if recent trends in client changes will continue, that number is bound to soar.
What’s covered and not
Flooding can cause tremendous damage to your property and belongings. That’s why it’s prudent to be covered for flood damage in case something happens. But you wouldn’t want your homeowners insurance and flood insurance policies to overlap. Here are a few pointers from House Logic that you’ll find handy:
- Limited. Examine your homeowners insurance policy. Focus on any and all coverage involving flooding. Some policies may contain limited coverage. Limited as it is, that’s still good news. In cases like this, you’ll need the services of your insurance agent to help you figure things out, from the cause of […]