The Flood Insurance Guru Blog
Floods can be devastating especially if you don't have the right resources. Having additional living expenses on a flood insurance policy is crucial. First of all what are additional living expenses?
Additional living expenses are where you are given additional funds to pay for rent and utilities while your property is being repaired from a flood.
Most people are unaware of additional living expenses when it comes to flood insurance because it is not offered on a policy from the National Flood Insurance Program. While it is not offered as part of a NFIP policy there are still a few ways you can get it.
One way to get additional living expenses on a flood insurance policy is by doing a private market flood policy. What is private flood insurance? This is flood insurance that is offered by a private flood insurance company compared to NFIP which is backed by the federal government. Generally most of these policies will provide additional living expenses up to $25,000.
Another way to get additional living expenses covered is if a presidential disaster declaration has been declared. This paves the way for additional funds to help certain communities during a disaster. One of those resources is temporary living expenses. One important thing to understand is sometimes this assistance can be in the form of a small loan and have a limitation of up to three months.
Recent flooding in Muscle Shoals Alabama, Birmingham Alabama, Knoxville Tennessee, Omaha Nebraska, Des Moines Iowa, and Minneapolis Minnesota have shown us how important additional living expenses can be. Let's say these areas suffered some flooding but not enough for a presidential declaration then temporary living expenses would not be available unless the property owner had private flood insurance.
A homeowner in Nebraska recently said if it was not for having additional living expenses on her flood insurance policy she is not sure what she would have done. So when reviewing what flood insurance covers and what flood insurance does not cover you always want to pay close attention to things like additional living expenses.
If you have questions about how to get this coverage or other flood insurance coverage then please fill the form out below.