Protecting yourself and your rental property against the unexpected costs of flooding is essential. Unfortunately, too many renters are unaware that flood insurance may be available to them or simply don’t understand what their options are.
In this post, we’ll shine a light on this often overlooked area so you can approach with confidence whatever nature has in store.
RENTERS AND FLOOD INSURANCE
Living in Florida often means dealing with the threat of flooding. But if you’re a renter, you might wonder what your options are for flood insurance. The good news is that there are several ways to get coverage for flood damage, even if you don’t own your home.
Here’s what you need to know about getting flood insurance for renters in Florida.
Renters Insurance with Flood Coverage
First, let’s start by addressing whether renters insurance covers flood damage. Generally, renters insurance does not cover flooding — it only covers damage from events such as fire, theft, and vandalism.
However, some renters insurance policies may include limited coverage for certain types of water-related damages (such as plumbing leaks). It’s always important to read the fine print on your policy so that you can understand exactly what they cover and what isn’t.
Purchasing a specialized flood insurance policy is highly recommended for those looking for comprehensive protection from the effects of flooding. This type of coverage is available through the National Flood Insurance Program (NFIP) and can provide renters with some peace of mind.
It’s worth noting, however, that NFIP policies come with certain limitations for damage caused by floods. Understanding these limitations before you purchase your policy will help ensure that they adequately cover you in the event of a major flood.
Flood Insurance Options for Renters
As a renter, it’s important to consider the additional protection that flood insurance can provide. Some renters insurance may offer an endorsement that you can add to your existing policy; this is just one way of obtaining coverage for flooding, as it provides a separate policy specifically tailored to natural disasters.
Separate flood insurance policies administered by private insurers or the NFIP are equally valid options and may offer even more comprehensive coverage.
Ultimately, each of these options contributes towards more security and gives you more peace of mind with the possibility of a catastrophic weather event.
THE BENEFITS OF FLOOD INSURANCE
Flood insurance is an investment in your safety, security, and peace of mind. Not only does it protect valuable belongings from water damage that is deemed a flood event, but some policies may extend coverage for associated expenses that arise from floodings, like evacuation or displacement costs.
Imagine the financial devastation that can befall you if you don’t have coverage and need to evacuate your home. By getting flood insurance, you get protection against unforeseen dangers while also having access to help that can help lessen the burden of repairs or cleanup costs. Having flood insurance gives you a certain level of financial security when you may need it most.
How Much Is Flood Insurance For Renters?
For renters who are concerned about flood damage, the cost of such insurance will depend on various factors, including the amount of coverage you need, your chosen deductible, and your building’s level of risk.
Prices can vary, but the National Flood Insurance Program advertises rates as low as $99 per year for simple contents-only coverage. To determine the right policy for your needs and budget, it’s vital to get an accurate estimate of your flood insurance cost.
What’s NOT Covered in Renters Flood Insurance?
Flood insurance for renters is important because it protects your possessions from the effects of flooding. However, it won’t cover you for all damages. Again, traditional renters insurance for floods rarely covers property damage to a unit structure, you’d have to look to other sources for compensation. Additionally:
- ● Some insurers also don’t offer protection for underground units.
- ● In most cases, monetary losses such as cash, stocks, and bond certificates are also not covered
- ● Suppose a flood displaces you and you need housing elsewhere while the repairs are being done. In that case, your flood insurance plan typically will not cover those additional living expenses.
Before signing up for any flood insurance plan, it’s vital to understand what isn’t covered and make sure that any uninsured losses can be taken care of financially.
How Much Coverage Does A Renter Need For Flood Insurance?
When renting, it's easy to overlook the need for flood insurance — but covering yourself is essential. When considering flood insurance for a rental property, make sure you calculate enough coverage to replace all your possessions in the event of a flooding disaster. Take the time to itemize what would need replacing should a flood occur and make sure you have adequate coverage.
No one likes to think about being affected by a natural disaster like flooding, but it pays off when you take steps towards preparing yourself financially should it happen, anyway. You should understand what kind of protection against floods is offered through a potential endorsement to your existing renters policy if available and consider adding additional coverage if needed.
If you need help finding the best renters or flood insurance coverage for the best price, start by speaking to a SimplyIOA agent at 833.872.4467 or get a renters insurance quote online now.
