In episode 256 of The Flood Insurance Guru podcast we are taking a deeper look at commercial flood insurance and flood zone AE.
We answer the following questions in this podcast
What is Flood Zone AE?
Flood zone AE is considered to be in the special flood hazard area. This falls within the 1% annual chance of flooding. This area generally has some of the highest flood insurance premiums outside the coastal areas.
What is the National Flood Insurance Program?
This is the flood insurance program offered through the federal government FEMA
What is private flood insurance?
This is flood insurance offered by private insurance companies.
What are your flood insurance options on a commercial building?
As we mentioned above their is the National Flood Insurance Program and private flood insurance. We want to discuss some differences so you can protect your business from flooding.
National Flood Insurance Program Private Flood Insurance
Building coverages. Max amount $500,000 No max
Business property Max amount $500,000 No max
Loss of income. coverage not available Usually 10-20% of replacement cost
Pricing Set by FEMA Set by each carrier
As you can see there can be a big difference in flood insurance coverages between the National Flood Insurance Program and private flood insurance. It could be the difference between your business staying open and closing after a flood. It's important to know each private carrier does look at things differently.
Maybe you have further questions about what commercial flood insurance options are available in your area? Then click here to get more information.
Remember we have an educational background in flood mitigation so we are here to help you understand your flood insurance options, flood risks, and mitigating your property against flooding.