Is Flood Insurance Worth It In Boise

Although it is not required by lenders, flood insurance is a great idea if you own a home in a high-risk area. And while no one is truly immune from flood damage, a recent survey showed that over 25% of claims originate outside of high-risk zones.

Considering that one foot of water can destroy the inside of an average home, it is a good idea to consider the costs of this policy in comparison to the average amount of damage a homeowner will suffer from a flood.

Why Buy Flood Insurance

1. Understanding the coverage. The first step in understanding your insurance policy is understanding what coverage is included. The can reimburse you for losses that you suffer if you live in a flood-prone area. 

However, you need to consider that your coverage will take effect thirty days after purchase. That is why it is a good idea to buy a policy before a storm hits. You never know when will strike, so it's important to take steps now to prepare for it.

2. The cost of policy. In a low-risk flood zone, a homeowner can expect to pay as little as $80 per year for a policy. It can go up to $1,055 per year if you have a basement. Flood insurance can cover up to $20,000 in damages and $5,000 in contents if the flooding was to happen. In a high-hazard area, however, the cost may be even higher.

3. What's covers. You should also take photos of the damage to document your claim and the insurance adjuster will come out to inspect the damage. Afterward, you'll get your paycheck. If your possessions were financed, your lender will also get compensation. Flood insurance prices vary depending on the square footage of your house, the type of construction and the elevation of your home. You should consider all three factors when choosing a flood policy. You should make an accurate assessment of the cost of repairs and rebuilding your home if you're in a high-risk area.

Final Thought

The FEMA website shows how likely your property is to flood. It has maps for zones A and V, and B and C zones are moderate-to-low risk. The FEMA flood maps are often outdated, and most of them may not account for recent climate change, which has caused more flooding and more expensive insurance premiums. It is best to consult a flood map before buying a home. You can also consult a database maintained by the NOAA to assess flood risks in your neighborhood.

In addition to NFIP, you can also buy flood insurance from private companies. Some private companies offer lower premiums than the NFIP, but it is important to gather several quotes before deciding on a policy. The last thing you want to do is wait until a hurricane season or hurricane has already occurred to decide whether or not flood insurance is worth the cost. It may also be in your best interest to set aside funds in case of a flood. You can also visit our blogs about Boise home insurance agents, for more ideas.