
Hurricane Season is Coming. Don't Forget the Basement.
As hurricane season approaches, let's talk about protecting basements from flooding.
For many American homeowners, the basement is the most heavily used space in the house—a multi-purpose mashup of hobby room, laundry room, guest room and storage. And don’t forget rec rooms, comfy spaces where families bond, entertain friends and watch the big games together.
So, what happens when a beloved basement floods? Do insurance policies cover the cost of replacing the washer and dryer, the comfy couch, plush carpet, big screen tv, air conditioner, refrigerator? Can flood insurance restore a waterlogged man cave (or lady lair) to its former glory?
It depends on the coverage.
Building Coverage
Agents like you need to be clear and detailed with your clients about what is and isn’t covered by a standard flood insurance policy.
NFIP’s building coverage policies reimburse property owners for specific losses, such as:
- Central air conditioners (not window units);
- Furnaces;
- Water heaters; and
- Sump pumps, heat pumps, and well-water tanks and pumps.
However, it is critical your clients understand that their coverage for this equipment requires that they be installed and connected to a power source. Before hurricane season starts, your clients should record information needed to process any claims, such as the manufacturer, model, and serial numbers, among other information.
Contents Coverage
If your clients have a lot in their basements, adding contents coverage to their policy can expand the types of items that qualify for replacement in the aftermath of a flood. Some eligible items include:
- Washers;
- Dryers;
- Window air conditioners; and
- Freezers (excluding walk-in freezers) and their contents.
As with building coverage, electric items must be installed and connected to a power source to qualify for replacement.
It is important to ensure they understand what’s not covered under and flood insurance policy, such as:
- Couches;
- Televisions;
- Family keepsakes; or
- Finished flooring, finished walls, bathroom fixtures, and other built-ins.
It is critical your clients understand the specifics of their flood insurance policies before a flood happens. As we prepare for hurricane season, it’s a good policy to remind property owners of their coverage and their options for increasing coverage to provide additional flood protection.
For more, visit: https://www.agents.floodsmart.gov