|Surviving the Storms (FEMA - Federal Emergency Management Agency, 1998, 8 p.)|
Most homeowners policies do not cover flood damage. Fortunately, however, federally backed flood insurance protection is available through the National Flood Insurance Program FIP).
NFIP coverage is available from any property and casualty insurance agent or broker. Homeowners can get up to $250,000 in coverage; businesses, up to $500,000. Flood insurance is available for virtually any building that is walled, roofed and principally above ground, along with building contents. Separate policies are needed for each structure.
Building owners can insure both structure and contents; renters and condominium owners, only the contents of their units. Condo associations should insure such commonly owned areas as walls, roofs, floors and stairways.
Mobile homes can be insured if they are on a permanent foundation and anchored to resist flotation, collapse or lateral movement.
NIL rates are set by the federal government. A 30 - day waiting period applies from the date of application until coverage becomes effective with payment of the premium.
If property is located in a Special Flood Hazard Area on the Flood Insurance Rate Map, flood insurance must be purchased to be eligible for any federal or federally related financial construction or acquisition assistance.
Those who live in Special Flood Hazard Areas and receive federal disaster loans or grants are required to purchase and maintain flood insurance. Otherwise, many forms of disaster assistance may be denied in future floods.
Since 1969, the NIL has paid over $6.9 billion in claims to policyholders. Currently, the NIL protects more than three million policyholders with more than $330 billion in coverage. All NIL claims and operating expenses are paid by policy premiums. No federal tax dollars are used for this purpose.
For more information about flood insurance call toll free 18004274661.