Flood Insurance in California
Flooding is a significant risk for many California property owners. According to recent studies, the risk of flooding in the Golden State is being overlooked. Increased weather volatility and rising sea levels disrupt existing prediction models. It is estimated that over a million properties are at a substantial chance of flooding, with more being added as our growing understanding of changing factors adjusts models. This means that even property owners outside of traditional flooding zones may want to bolster their insurance coverage.
At ANA Insurance Brokerage Inc., we are committed to ensuring our clients have the protection they need when waters rise. Understanding the basics of flood insurance is the first step to buying the right amount of protection.
What Is Flood Insurance?
Flood insurance picks up where standard homeowner's coverage stops. Flood insurance covers damage impacting at least two properties or acres caused by excess water on usually dry land. This can result from an overflow of inland or coastal waters (traditional flooding), rapid accumulation or runoff of surface waters from any source (levee breaks, flash floods), or mudflows. Mudflows often cannot result from earth movement, as those are usually named exclusions, even when the earth movement is triggered by flooding.
The National Flood Insurance Program (NFIP) policy managed by FEMA can cover damage to buildings and contents damaged within them. This coverage is available to property owners, renters, and commercial properties.
Am I Required to Carry Flood Insurance?
The state of California does not require flood insurance, but your mortgage lender might. Flood risk is assessed regularly, and your property's risk factor can change over time. Even if your property is not rated in a high-risk zone, flood insurance is a wise investment. According to the Hazard Mitigation Plan of Southgate, CA, half the city is in FEMA's 500-year flood zone, and only half of the impacted property owners carry flood insurance. Residents are also within range of dam failures of Garvey, Whittier, and Hansen Dams.
It typically takes 30 days after purchase for your flood policy to take effect, and Southgate, CA is an at-risk area that could be flooded without warning. Call or visit ANA Insurance Brokerage Inc. today to review your policy and ensure you are prepared for the rising risk of flood damage.