The catastrophic images coming from North Carolina and Florida as a result of Hurricane Helene have made me question my own preparedness. Sure, I think. The Florida property owners had flood insurance. Hurricanes are an annual thing.
But the North Carolina owners? I’m not so sure. They were told to expect rain. And they were told to expect flooding. None of them expected the extend
Flood insurance is not a part of most insurance policies on either rental properties or homes. In fact, it’s estimated just somewhere between 5 and 6% of all homeowners have flood insurance on their properties.
That’s because most properties aren’t in a floodplain and the thinking goes, won’t need it. So if you own a duplex that isn’t in a floodplain, does it matter?
Yes. Water in the basement is considered flooding. And unless you have flood insurance, any damage that water does won’t be covered unless you have a policy for floods. That may not matter if the basement’s unfinished. However, if you have a below ground-level apartment and don’t have a flood policy, any water damage won’t be covered.
Most policies also include the furnace, water heater, washer and dryer. However, they do not include contents of the building. That not includes your belongings, but your tenants as well.
And even if you’re among the minority of flood insurance policy holders, odds are your policy won’t cover your tenants belongings. Given our changing weather patterns, it may be wise to encourage them to explore the possibility; especially those who live below ground-level.
Whether you’re a housing provider or tenant, having the right insurance certainly wouldn’t make a catastrophic flood a non-event. It would go a long way, however, toward helping you get back on your feet.
Call your insurance agent to see if they think it’s wise for you to add a policy. And if none is available, FEMA offers a National Flood Insurance program HERE.