Moorhead, MN -- People who live near water are not the only ones who experience flooding. Floods can happen from heavy rains, levies breaking, sewage backup, sandbags moving water to other areas, and rivers moving over time, spreading for miles. Flash floods can begin and end within just a few hours, cutting a path of major destruction.
Homeowner, renter, and business insurance does not cover flood damage. However, there is assistance available to communities that choose to participate in the National Flood Insurance Program (NFIP).
The Federal Emergency Management Agency (FEMA) offers important insurance coverage through the NFIP, which was created in 1968 to provide flood insurance at a reasonable cost. Community governments must choose to participate in the National Flood Insurance Program in order for its residents to get flood insurance.
"Buying flood insurance puts you back in control," says George Currin, flood insurance liaison for FEMA. "By having flood insurance coverage, you don't have to take out a loan for your flood related losses."
Compared to fire, people in floodplains are five times more likely to have a flood during their 30-year mortgage. With flood insurance, claims are paid even if the President does not declare a federal disaster.