Customers have been telling us lately that they do not need flood insurance if their home is paid for. This is an extremely dangerous scenario. You see one of your biggest assets is your home, its one of few things that can appreciate very quickly in a good market. So in looking at if you need flood insurance, there is one great example we can review.
Lets take a look at the market crash of 2008. As most people know 401k's took the hardest hit in this year costing many people retirement and forcing them to work for many more years. What if there had been some kind of protection in place that would have stopped this. This protection you would have bought immediately, then why would you not keep flood insurance on an appreciating asset like a home. You see lets say a flood comes in washes out your $200,000 home. You have no coverage in place so you walk a way without anything. You have now lost $200,000. However lets say that you had a private flood insurance policy in place for $800 a year for the last twenty years. Instead of losing that $200,000 you know have $184,000. This is one of the easiest ways to protect your wealth. If you are trying to decide if you have the right protection in Birmingham, Al then contact Chris Greene at Community First Agency.