FEMA: Flood insurance available through federal agency

|tab|

Recent heavy rains across Missouri created flooding in many areas of the state. However, flood damage is not covered by the typical homeowners policy, according to a news release from the Missouri Department of Insurance. |ret||ret||tab|

Flood insurance is offered, usually through local agents, by the federal National Flood Insurance Program (NFIP) under the Federal Emergency Management Agency (FEMA). |ret||ret||tab|

Auto comprehensive policies do cover damage from floods to cars and light trucks.|ret||ret||tab|

If buildings are flooded and clients have a federally underwritten policy, they should contact the local agent who sold and services the policy. Go to |bold_on|www.fema.gov/library/lib08.htm for access to numerous on-line publications on flood damage prevention and post-flood recovery efforts.|ret||ret||tab|

|ret||ret||tab|

What is a flood? |ret||ret||tab|

A general and temporary condition of partial or complete inundation of two or more acres of normally dry land area or of two or more properties (at least one of which is the policyholder's property) from: |ret||ret||tab|

overflow of inland or tidal waters; |ret||ret||tab|

unusual and rapid accumulation or runoff of surface waters from any source;|ret||ret||tab|

mudflow; or|ret||ret||tab|

collapse or subsidence of land along the shore of a lake or similar body of water as a result of erosion or undermining caused by waves or currents of water exceeding anticipated cyclical levels that result in a flood as defined above.|ret||ret||tab|

|ret||ret||tab|

What does insurance cover?|ret||ret||tab|

The Standard Flood Insurance Policy forms contain complete definitions of the coverages they provide. |ret||ret||tab|

Direct physical losses caused by "floods" are covered. |ret||ret||tab|

Also covered are losses resulting from flood-related erosion caused by waves or currents of water activity exceeding anticipated cyclical levels, or caused by a severe storm, flash flood, abnormal tidal surge, or the like, which result in flooding, as defined. |ret||ret||tab|

Damage caused by mudslides (i.e., mudflows), as specifically defined in the policy forms, is covered. |ret||ret||tab|

|ret||ret||tab|

What is covered in the basement? |ret||ret||tab|

The NFIP defines a basement as any area of a building with a floor that is below ground level on all sides. While flood insurance does not cover basement improvements, such as finished walls, floors or ceilings, or personal belongings that may be kept in a basement, such as furniture and other contents, it does cover structural elements, essential equipment and other basic items normally located in a basement. |ret||ret||tab|

Many of these items are covered under building coverage, and some are covered under contents coverage. The NFIP encourages people to purchase both building and contents coverage for the broadest protection. |ret||ret||tab|

The following items are covered under building coverage, as long as they are connected to a power source and installed in their functioning location: |ret||ret||tab|

sump pumps; |ret||ret||tab|

well water tanks and pumps, cisterns and the water in them; |ret||ret||tab|

oil tanks and the oil in them, natural gas tanks and the gas in them; |ret||ret||tab|

pumps and/or tanks used in conjunction with solar energy; |ret||ret||tab|

furnaces, water heaters, air conditioners, and heat pumps; |ret||ret||tab|

electrical junction and circuit breaker boxes, and required utility connections; |ret||ret||tab|

foundation elements; |ret||ret||tab|

stairways, staircases, elevators and dumbwaiters; |ret||ret||tab|

unpainted drywall and sheet rock walls and ceilings, including fiberglass insulation; and|ret||ret||tab|

cleanup. |ret||ret||tab|

The following items are covered under contents coverage: |ret||ret||tab|

clothes washers; |ret||ret||tab|

clothes dryers; and|ret||ret||tab|

food freezers and the food in them.|ret||ret||tab|

|ret||ret||tab|

Compliance coverage|ret||ret||tab|

Increased Cost of Compliance (ICC) under the NFIP provides for the payment of a claim to help pay for the cost to comply with state or community floodplain management laws or ordinances from a flood event in which a building has been declared substantially damaged or repetitively damaged. |ret||ret||tab|

When an insured building is damaged by a flood and the state or community declares the building to be substantially damaged or repetitively damaged, ICC will help pay for the cost to elevate, flood proof, demolish or relocate the building up to $20,000. |ret||ret||tab|

This coverage is in addition to the building coverage for the repair of actual physical damages from flood under the Standard Flood Insurance Policy.|ret||ret||tab|

|ret||ret||tab|

When the policy goes into effect |ret||ret||tab|

There is a 30-day waiting period before a flood insurance policy can become effective. |ret||ret||tab|

In most instances, the insurance producer who writes the policy can provide clients with the date that the policy should go into effect. |ret||ret||tab|

The Missouri Department of Insurance regulates the insurance industry in Missouri and provides consumer protection for the insurance-buying public.|ret||ret||tab|

[[In-content Ad]]