"The important thing is that your home insurance policy does not cover flood insurance," says Gail Moldovan, insurance agent at Hagan Hamilton Insurance Solutions. "So, that does not cover water from outside sources, and sometimes people think that home policy covers that."
Moldovan claims that it is the number one on its list of things that home and business owners need to know. She also thinks that people have a false sense of security if they live in what is often called a 100-year floodplain.
"Everyone still assumes that it's a 100-year floodplain and says:" Oh, I'm going to live 100 years without floods, "Moldovan said. "This is not the case – it simply means that there is a one percent flood risk during a given year – people could have multiple floods during the course of a year. A period of 100 years or even a period of 10 years. "
Federal flood insurance, once the only type of flood insurance available, is another matter of confusion.
"They no longer need federal flood policies," Moldovan said. "Previously, it was like that, but it has changed, now they can buy private flood insurance and these rates are much lower."
While it's true that some people may live in an area where the risk of flooding is tiny, Moldovan says many people underestimate their risk.
"In fact, 25% of the high-risk flood zones are really flooded," Moldovan said. She recommends that people examine various flood maps available from cities, counties and other government agencies. Such a service is offered by FEMA.
The last council in Moldova is not to wait for bad forecasts before taking out flood insurance.
"If you voluntarily buy a flood policy, in other words, if your lender does not need it, you will have a waiting period," she said. "Between 10 and 30 days before the police come into force, it's important because people can not wait for the storm to arrive or the river starts to rise and say," I'm going to get flood insurance. "