LOUISIANA (KPLC) - With hurricane season around the corner, Louisiana homeowners, renters, and business owners are urged to purchase a flood policy to protect against disaster damage.
The National Flood Insurance Program aims to reduce the impact of flooding on public and private structures. It provides flood insurance to property owners, renters, and businesses. The NFIP also encourages communities to adopt and enforce floodplain management regulations.
Properties located in high-risk areas have at least a one-in-four chance of flooding during a 30-year mortgage, according to a fact sheet from the National Flood Insurance Program.
Flood insurance is recommended, even when properties aren't in flood plains or high-risk zones. When Hurricane Harvey hit last August with devastating floods, an estimated of two out of 10 homeowners living in the Houston area had flood insurance, according to USA Today. The article also stated that because much of the Houston area falls outside of the most vulnerable flood zones many homeowners who weren't forced to have coverage decided to do without. They are now stuck because flood damage is not covered by standard homeowner's insurance.
Here is more information from the NFIP fact sheet.
- A few inches of floodwater can cause thousands of dollars in damage.
- Many Louisianians continue to recover from the August 2016 floods that devastated Baton Rouge and surrounding areas. More than 38% of the homes and businesses damaged were in moderate and low-risk areas.
- The NFIP disbursed more than $2.4 billion to Louisiana policyholders for this disaster.
- The average claim payment for this disaster was more than $89,000. Payments are based on the structure value minus the depreciation at the time of the disaster.
- The average annual flood insurance policy costs about $700 annually.
- In addition to coverage for structures, the NFIP offers content coverage as low as $48 in some areas.
- There is a 30-day waiting period between purchasing a policy and the date it goes into effect.
- FEMA assistance is not the same as insurance. Assistance only provides the basic needs for a home to be functional. Insurance covers more damage. The NFIP payments aren’t dependent on state or federal disaster declaration.
For additional flood information and safety tips, visit www.ready.gov/floods.
Visit www.fema.gov/Louisiana-Disaster-Mitigation for mitigation information.