Living underneath the rain shadow might be wonderful but anywhere it rains, it can flood. The fact is only 20% of American homes that are at risk for floods are covered by flood insurance in Washington State. A standard home insurance policy will cover damages caused by a flood.
If you purchase a home in a moderate to high-risk zone, you should consider a flood insurance policy. The cost is relatively inexpensive depending on where you live. The coverage choices vary depending on your flood zone. Meanwhile you can customize your policy as well.
Remember that a flood policy does not take effect until 30 days after you purchase! A flood is a general and temporary condition where two or more acres of normally dry land or two or more properties are covered by water or mudflow. It could be caused by hurricane, outdated or clogged drainage systems or even rapid accumulation of rainfall.
Coverage is provided by the National Flood Insurance Program (NFIP) and administered by The Federal Emergency Management Agency, FEMA, U.S. Department of Homeland Security. On the FEMA website you can find information about flood zones, what causes flood, understanding flood maps and much more. Local Insurance Agents coordinate coverage through Insurance Wholesalers who process the applications for the National Flood Proogram.
Understand your risk and you will know how to protect against massive personal financial loss due to flooding.
Homer Smith Insurance
Scientists say there is a significant chance an earthquake will hit the U.S.; particularly to those who live on the west coast such as Washington, Oregon and California. The Wikipedia page on the Cascadia fault which runs from northern Vancouver Island to northern California provides in-depth information about the risk.
Washington Earthquake Insurance provides coverage if your home is specifically damaged by an earthquake. Your standard homeowner and renters policy does not cover earthquake damage. Despite the high earthquake risk in the Pacific Northwest, only 15 to 20 percent of Homeowners purchase earthquake insurance in Washington State. If you live in places that are especially prone or risk to earthquake, you should consider it. You could purchase earthquake insurance as an additional policy or as an add-on to your homeowner policy.
The limit of insurance should cover the replacement cost of your home as well as the cost for your personal property and other structures such as garages or sheds. Earthquake insurance is considered catastrophic coverage. A fire generally burns one house or building. An earthquake can destroy an entire city. for that reason, instead of a $250 to $2,500 deductible found in your homeowner policy, an earthquake policy will have a deductible equal to 5 to 20 percent of value.
The cost for earthquake insurance depends on a number of factors including location, type of soil and the construction type of the dwelling. A brick home will cost more to insure than a frame built home. A home built on fill will cost more than a home built on natural soil.