Eroding levees, flood map changes, lack  of buyers highlight need for public outreach

In the United States, floods are the most common natural disaster, yet shockingly enough, only a tiny fraction of homes are covered by flood insurance.

Should a property' suffer flood damage, residents without flood insurance coverage might have to rely on a federal disaster declaration (which is not automatic) and federal loans, which must be repaid with interest. With flood insurance protection, however, the homeowner is in good position to recover since flood insurance claims are paid even if a disaster is not declared by the President.

A study conducted by the National Association of Insurance Commissioners last year revealed that 33 percent of homeowners believe - incorrectly, 1 might add ' – that flood damages are covered under a standard homeowners policy. So, in an effort to
reverse misconceptions about homeowners policies and flood coverage, the National Flood Insurance Program turns to the agent to help advise homeowners on critical insurance needs and requirements. And flood insurance – the best available protection against rising water - needs to top the list.

Business Journal Vol. 86. No. 5