Texas is historically prone to excessive rainfall, flash floods, and damage that comes in the wake of our unpredictable weather and disastrous natural events. You probably remember the catastrophic deluge from Hurricanes Harvey or Sally that affected major metropolitan areas throughout the state. While unexpected heavy rain or natural disasters can cause significant damage to structures when they occur, many homeowners lack the protection of flood insurance in Texas.
Read on to learn why you need to get flood insurance coverage whether you're a homeowner, renter, or business owner in Texas.
The Home Insurance Protection Gap
Roughly 90% of natural catastrophic events in the U.S. involve flooding, and history proves that any home can flood. By some estimates, over 14 million properties across the country face a huge risk of flood damage. Unfortunately, about 5.9 million property owners either underestimate or are oblivious of this danger. That may explain why there's a significant flood insurance gap across the U.S, including in Texas, where up to 80% of homeowners don't have this type of coverage.
According to experts, you're not safe from flood damage even by living outside designated flood zones. The lack of insurance protection against flooding has painful consequences, and living with insufficient coverage can be devastating.
So, when the unfortunate eventually happens, you may have to rebuild or repair your home or business property out of pocket. Sadly, many small businesses without flood insurance struggle to come back up after suffering this level of water damage.
What if You Have Homeowners Insurance?
If you only have a homeowners insurance policy, you still have a wide coverage gap. Typically, a standard policy may cover basic hazards, such as water damage from a burst pipe inside the home. However, it will not compensate you for the damage that water coming from outside the home may cause. Renters insurance doesn't cover flood damage either.
Therefore, you'll want to get special coverage to protect yourself in case you lose your home in a natural disaster, such as a hurricane or flash flood.It's important to obtain the extra insurance coverage, whether you're a building owner or renter.
You can get separate coverage from the National Flood Insurance Program (NFIP), which is managed by FEMA. More and more private insurance companies are now also offering flood damage policies.
What Flood Insurance Covers
Having flood insurance can protect your property against losses that a homeowners or renters’ policy doesn’t cover. Typically, two types of coverage are available from the NFIP: building policy and contents policy. Besides enabling you to rebuild your damaged building, the policy may help you replace destroyed personal belongings.
The flood insurance needed for Texas homeowners or renters can be a vital safety net when your business premises or home suffers water damage due to flooding after heavy or prolonged rain. The supplemental insurance also covers property destruction due to coastal storm surges.
The policy may cover specifics like:
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Sewer backup damage due to flooding
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Reconstruction of your damaged property
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Electrical and plumbing equipment
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HVAC systems
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Refrigerators, cookers, and built-in electrical appliances, such as dishwashers
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Detached structures, such as garages
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Cabinets and panels
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Foundation walls and staircases
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Carpeting
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Water tanks and pumps
If you live in an area where it rains, you’re prone to flooding effects, including damage to your home. Fortunately, you can protect yourself against loss by having flood insurance cover on hand. When looking for
homeowners insurance that protects your property, contact the team at
Reata Insurance Group. We can help you secure reliable home coverage in Texas that suits your needs and budget.
