Damage caused by floodwaters is not covered under most homeowners insurance policies.

Since 1968, the federal government has covered flood victims through the National Flood Insurance Program (NFIP). The NFIP provides flood insurance at government-subsidized rates. The cost of each policy varies according to the risk involved and the amount of coverage selected.

Flood insurance is available for renters as well as homeowners. You will need flood insurance if you live in a designated flood zone. But also consider buying it if your house could be flooded by melting snow, an overflowing creek or water running down a steep hill. Consumers may buy a flood policy through licensed brokers and agents or directly from those insurance companies that write flood insurance in conjunction with the NFIP. There is a 30-day waiting period before a flood policy can become effective.

Under most flood policies, you can get replacement cost coverage for the structure of your home, but only actual cash value coverage is available for your possessions. There may also be limits on coverage for furniture and other possessions stored in your basement.

This coverage can be a separate policy or an endorsement to your homeowners or renters policy. It is available from most insurance companies.

It is your responsibility to take reasonable precautions to protect your home from damage. Your insurance policy will not cover damage due to lack of maintenance, mold, termite infestation and infestation from other pests.

See Also:
Property Coverage
Personal Liability Coverage
Medical Payments
Additional Living Expenses
How Much Do You Need?
Additional Coverages