Fayetteville NC Flooding – Does my insurance cover water in my home?
As the Cape Fear region awoke this morning (September 29th, 2016) our attention and thoughts turned to the rising waters in our streets and homes. The Fayetteville Observer is reporting flooding in several main intersections and neighborhood streets.
These events often cause us to pause and consider questions like, does my insurance policy cover my small business against flood and rising water? My roof has sprung a leak! Will my brand new flat screen be replaced because water is rushing in from above?
Water Water Everywhere!
Water claims can be tricky. Let’s take a look at some questions to help you better understand your current insurance policy and give yourself the best opportunity to recover your damaged property.
- Do I have flood coverage on my home? Standard homeowner’s insurance policies DO NOT typically include damage caused by flooding. Flooding, in the insurance world, is defined in simplest terms as rising water… You can find a more complete version here. I know that is painful to hear, but it’s the truth. Dig out your policies or call your insurance agent for more information. You can also visit the National Flood Insurance Program website.
- Water is coming in from my roof, is this type of damage covered in my insurance policy? The answer is MAYBE. You have an obligation to do all you can to stop the leak ASAP. That means, carefully get on your roof and throw a tarp down. If you own a small business, move your inventory and fixtures away from intruding water quickly. If an insurance adjuster determines that you did not do you part in mitigating the loss you may find yourself without coverage. Refer to your policy or call your insurance agent for more information about this conditional coverage.
- Water is coming in through the drains! It has damaged my flooring and some property. Will this be covered? DEPENDS. Standard home insurance policies exclude flood damage due to drain backup unless the policy has an endorsement called “Sewer and Drain Backup”. This coverage usually includes limited coverage. Businesses and homeowners can purchase this coverage as an addition to their policy. Best of all, this endorsement is very affordable and highly recommended.
How Much is Flood Insurance?
What home and business owners don’t often realize is that flood insurance by itself is a very affordable. If we had just 5 inches of water intrude into our property the cost to repair this damage could be in the thousands of dollars. Compare that to a flood policy that costs $300 – $500 per year and you can see it is worth the investment.
It is true the Fayetteville region is not in a flood plain. But, today proves that no matter where you live, the devastation of flood and rising water can happen anywhere. Check out this picture of downtown Fayetteville in 1945.
If you would like more information about flood insurance and how to better protect your business and assets give us a call. Stay safe out there!