Dispelling Myths About Flood Insurance
Release Date: April 21, 2009
Release Number: 1830-014
» More Information on Minnesota Severe Storms and Flooding
MOORHEAD, Minn. -- Buying flood insurance can provide protection and peace of mind, but it can be confusing.
Flooding, after all, is one of the most common natural hazards in the United States.
To make things easier, state and federal officials want to ensure that all Minnesota residents are aware of correct facts about the National Flood Insurance Program (NFIP).
Below are two common myths about flood insurance.
Myth: The NFIP does not offer basement coverage.
Fact: While basement improvements such as finished walls and floors and personal belongings in a basement are not covered by flood insurance, structural elements and essential equipment within a basement are. The following items are covered under building coverage, as long as they are connected to a power source, if required, and installed in their functioning location:
- Sump pumps
- Well water tanks and pumps, cisterns, and the water in them.
- Oil tanks and the oil in them, natural gas tanks and the gas in them
- Pumps and/or tanks used in conjunction with solar energy
- Furnaces, water heaters, air conditioners, and heat pumps
- Electrical junction and circuit breaker boxes and required utility connections
- Foundation elements
- Stairways, staircases, elevators, and dumbwaiters
- Unpainted drywall walls and ceilings, including fiberglass insulation
- Cleanup
MYTH: You can't buy flood insurance unless you are located in a high-flood-risk area.
Fact: You can buy flood insurance no matter where you live, as long as your community participates in the NFIP. The NFIP was created in 1968 to make federally backed flood insurance available to property owners, renters, and businesses in eligible communities. There is, however, a 30-day waiting period after you buy flood insurance before the policy is effective.
Flood insurance provides limited coverage up to $1,000 for expenses incurred trying to protect insured property from flood damage, such as sandbagging. Homeowners should check with their agent regarding eligibility.
Homeowners, condo owners, renters and business owners are advised to read their flood insurance policies carefully, and to discuss their policies with their insurance agents to make sure they understand what is and is not covered. They should also make sure they have all required permits before repairing or rebuilding. More information on flood insurance is available on the Internet at www.floodsmart.gov, or by calling toll-free 1-888-275-6347 or TTY 1-800-427-5593.
FEMA leads and supports the nation in a risk-based, comprehensive emergency management system of preparedness, protection, response, recovery and mitigation, to reduce the loss of life and property and protect the nation from all hazards, including natural disasters, acts of terrorism and other man-made disasters.
Last Modified: Tuesday, 21-Apr-2009 10:02:36