Most flood claims occur in homes located outside mapped flood zones. Flash rains, ice damming, and faulty gutters or window wells can cause floods. And the damage can be staggering. Just 1 inch of floodwater can cause $25,000 in damage, according to the National Flood Insurance Program.
You can use this flood cost estimator to see how your costs rise with each inch of standing water in your home. If the expense seems excessive, think about the contents of your basement or first floor (if you don’t have a basement). Then consider how much it would cost to have a professional repair the damage. When the water rushes in, you probably have much more to lose than you think.
Everything in your basement adds up
Even if your basement is unfinished and you have nothing valuable stored there, consider what else is probably living below ground level:
- Washer and dryer
- Water heater
- HVAC unit and boiler
- Water softener
Replacing and installing these items can easily cost thousands of dollars. In the meantime, you’ll need to act fast to get the water out of your home and dry the area, before mold sets in. Hiring a professional to assist with cleanup is well worth it, especially if there’s a clause in your policy requiring you to do everything you can to remediate the issue.
If you have a finished basement, your flood troubles just got exponentially worse. Make sure to add coverage by endorsement and set your limits high enough to cover the cost of rebuilding the entire basement, including drywall, paint, flooring and furnishings. This cost is in addition to the usual household equipment mentioned above.
Don’t assume you’re safe because you live outside a flood zone
Most flood claims happen outside flood zones. For example, a flash rain can dump several inches of water in a short amount of time, saturating the ground around your home. Once the ground can no longer absorb the water, it travels to the lowest possible point. If your home is situated on a low part of your property or the grading runs toward your house, you’re a candidate for a flood.
Any water that enters your home from the outside is normally considered a flood, which isn’t covered under your homeowners insurance. Even if your issue doesn’t seem like a classic flooding situation, don’t count on your homeowners policy to cover it.
Contact your insurance professional
Contact your insurance professional for a rundown of your homeowners coverage. Pay special attention to the limits and exclusions. Also ask about what’s covered regarding flood cleanup and remediation. And set your limits high enough to protect your valuables and rebuild in a worst-case scenario.