Did you know that standard homeowners insurance usually won’t include flood coverage? Still, flooding is a devastating and pervasive problem when it strikes a home. On average, the damage to a 2,000 square foot home by six inches of water is $39,150.  

If we didn’t have flood insurance, how many of us could afford such a hefty repair bill? That’s what your lender wants to know. If you’ve got a mortgage, the damage might not impact just you. It could also impact your mortgage lender. The lender wants to protect their own assets from this risk of severe damage. In most cases, lenders require residents of flood zones to carry flood insurance. 

Understanding Your Own Flood Risks 
A flood can happen anywhere. However, it is much more likely to impact certain areas than others. For example, if you live in an elevated area, the chances of a flood are likely quite low. However, homes that lie in lowland areas or near large bodies of water may see much higher flood risks. Sometimes, your home’s flood risks might even differ from that of your neighbor. 

Understanding your home’s risks will likely help you know if you must carry flood insurance. Your community and other institutions, like the National Flood Insurance Program (NFIP), often work together to analyze the flood risks of certain areas. They then assign your property a rating of flood risks. By NFIP standards, areas A and V have the highest flood risks. Moderate risks exist in zones B, C, and X. Keep in mind, some areas may not have risk ratings. 

Getting Flood Insurance and Protecting Your Home 
Generally, a mortgage lender will check to see what your home’s flood insurance ratings are. They will likely require mortgage holders with high risks to carry flood coverage. 

However, even if you don’t live in a high-risk area, it’s often still a good idea to carry flood insurance. You can get the help to repair a home’s structural and appliance damage and replace lost property. Remember to talk to your agent about setting the appropriate limits on your policy. You’ll want to make sure you get the best possible value of coverage for your home in case of a significant disaster. 

Even once you get flood insurance, there are other ways to protect your home from flooding. This might include using special engineering or construction methods. Other protective devices might even create dams around a home in case of flooding. If you experience flooding, it is never a good thing to be without flood insurance coverage. Talk to your insurer today.