You aren't required to have flood insurance in Texas, but if your home is in a high-risk flood zone, some mortgages may require you to have it as a condition before closing. Flood insurance is a good thing to have because floods will not be covered by your homeowner's insurance. The state of Texas is prone to flooding, and it can have devastating consequences if your home is not insured. One in four losses can occur in homes that are not high risk, so even if you are in a moderate flood risk area, still consider flood insurance. An agent at Salgado Insurance can help discuss your risk.
Knowing your flood risk will help determine if you need flood insurance. There are maps you can use to see high, moderate and low flood risk areas. There is a 30-day waiting period before your flood insurance kicks in, so don't wait until a storm is approaching in order to get flood insurance.
Flood insurance will have coverage limits through the National Flood Insurance Program, and the maximum is usually $250,000 for the structure and $100,00 for contents. For renters, the landlord is responsible for the structure and you would need a policy for contents. Policies can cover the standard home systems, which include the furnace, water heater, air conditioner and plumbing system. Carpeting and other installed features, appliances and personal property are usually covered as well. For detached garages, a maximum of 10% of the policy coverage is applied.
There are some limitations to flood insurance. It will usually not cover flood damage caused from a sewer backup or damage that occurred in a basement. If flooding is due to a sinkhole or landslide, it usually is not covered either. If there is flood damage to your vehicle, it would not be covered under the flood insurance. You would instead need a comprehensive auto insurance policy.
Contact Salgado Insurance to get a quote on flood insurance.
