Flood Insurance Renewal - What to Check Every Year
How Flood Insurance Differs From Homeowners Insurance
How Flood Insurance Differs From Homeowners Insurance
When it comes to protecting your home, most people assume a standard homeowners insurance policy will cover every disaster.
Unfortunately, that’s a costly misconception — especially for floods.
In most cases, homeowners insurance does not cover flood damage.
Let’s look at the key differences between these two types of coverage so you can make informed decisions about your property’s protection.
What’s Covered by Homeowners Insurance?
A typical homeowners policy covers losses caused by everyday perils like:
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Fire and smoke
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Theft and vandalism
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Windstorms, hail, and lightning
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Accidental water damage (e.
g.
a burst pipe)
What’s usually not covered? Flooding due to storm surges, overflowing rivers, heavy rain, or hurricanes.
What’s Covered by Flood Insurance?
Flood insurance, often purchased as a separate policy through the National Flood Insurance Program (NFIP) or a private insurer, specifically covers:
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Structural damage to your home’s foundation, walls, and flooring
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Electrical and plumbing systems
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Built-in appliances like HVAC, water heaters, and refrigerators
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Personal belongings, such as furniture, clothing, and electronics (optional coverage)
Why You Need Both
Even if you live outside a high-risk flood zone, flood damage can happen anywhere — and without a flood policy, you’ll have to pay for repairs and replacements out-of-pocket.
According to FEMA, just one inch of water can cause $25,000 or more in damage to your home.
That’s why combining homeowners insurance and flood insurance provides the most complete financial protection.
Homeowners insurance protects you against everyday risks like fire and theft, while flood insurance covers water damage from storms and rising water.
Who Needs Flood Insurance?
Flood insurance isn’t only for those living on the coast.
Inland flooding, flash floods, and seasonal storms can strike unexpectedly.
Many lenders also require homeowners in high-risk flood areas to carry a flood policy as a condition of their mortgage.
Final Thoughts
Understanding the differences between homeowners insurance and flood insurance is crucial to protecting your home and finances.
Make sure to review your existing policy and talk to an insurance agent about your flood risk.
Being proactive can save you stress — and serious money — if a flood ever occurs.
Here is what our clients are saying about us:
I have no problem giving you an A1 reference for taking care of the flood policies for me and Diane. I appreciate you working with the mortgage company: the surveyor and our previous agent. The result was a 75% reduction in our flood insurance premiums!
We contacted Mr. Holt for an estimate via email over the weekend prior to a closing on a property, hoping for a response on the following Monday to take with us with confidence in being insured at the settlement table on a Tuesday. He exceeded our expectations not once but in readily responding to the initial request and then to follow-up questions all during the weekend frenzy that occurs before closing. "Impressive and responsive customer service," for sure!
I have known Tim for many years and he is a man with great integrity, work ethic and one of the nicest persons I know. Over the years Tim has provided insurance counseling and advice to our company, for myself personally, as well as to our clients. Recently Tim, took time to analyze our flood insurance policy and he was able to make some excellent recommendations. Our flood insurance costs are now less and we have much better coverage. I recommend Tim to anyone without hesitation or reservation.
We'll help you:
Lower your current flood insurance premiums
Eliminate excessive & unnecessary coverage
Remove the FEMA from the claims handling process
