Ameridry Blog Understanding Flood Insurance and Rebuilding after Water Damage

When you live in Southwest Florida, you know you are always at risk for tropical storms that can bring extremely high winds, heavy rains, and flooding at any time. As a Florida homeowner, you must prepare for the likelihood of water damage by flood-proofing your home, keeping your home in good repair, and having good insurance to minimize your loss.Normal homeowners insurance does not cover floods, so you must know your options for protecting yourself. The average cost of restoration to a 2,000 foot home after being damaged with 6 inches of flood water is nearly $40,000 - quite a hefty amount to come up without insurance.Help for Flood Prone AreasSince 1968, residents living in at-risk areas have been able to participate in the National Flood Insurance Program (NFIP) to offset part of the cost of damage from floods. Floods can occur anywhere, so areas that participate in the program are determined to be special flood hazard areas (SFHA) like southern Florida, coastal high hazard areas, moderate to minimal risk areas, or undetermined risk areas.Under the program, you can obtain a policy to cover rebuilding costs up to $250,000 and up to $100,000 in possessions. If you have a more expensive home, you can also buy extra coverage to help cover your losses.FIRM Maps Help Determine RatesPremiums for the program depend on the degree of risk assessed by the Federal Emergency Management Agency (FEMA), which maps the mudflow and flood-related erosion in the area to determine the likelihood of flooding. FEMA constantly maps risks and is now capable of producing Digital Flood Insurance Rate Maps (DFIRMS) that can show flood risk property-by-property.The flood insurance rate map (FIRM) for coastal Florida identified much of the area is being in a special flood hazard area (SFHA), where there is assumed to be at least a one in four chance of a property flooding during a 30 year mortgage. Even though Floridians have paid higher rates than elsewhere due to the risk, their premiums have been highly subsidized by the government. As of 10/1/13, rates started to rise due to the many natural disasters of the past few years that have strained the flood insurance system.Considering the BFEOnce a home in a floodplain has been damaged by flood, you must follow specific rules when you rebuild any house that is substantially damaged by a flood. One important requirement is that the lowest floor be built at or above the Base Flood Elevation (BFE). Also known as the 100 year flood level, the BFE means that floods have a 1% chance of occurring in a given year.For any area of the house you intend to use for living space, you must elevate the home on posts, piles, piers, or columns. To prevent damage to crucial services, you must also install heating, electrical, plumbing, and air condition equipment on or above the BFE. If you don't follow BFE requirements in your local building code when planning or executing a repair, you will be unable to obtain permits and may face a stop construction order, fines, higher flood insurance rates, and denial of flood insurance.Remediation Help When You Need ItWhen you are estimating the amount of flood insurance you need, you should inventory what you have in order to estimate the cost of repairing or replacing your home and possessions. Part of what you should include is the cost of remediation and restoration services after a flood.Fortunately, in the Naples, Cape Coral, Fort Myers, Port Charlotte, and Marco Island area, AmeriDry is on hand to help you recover from water damage from a natural disaster. We are available on a 24/7 basis to respond to emergencies and are able to work with both your home insurance company and NFIP insurance to get you back to normal. Just call us at 239-225-1379 or visit our website for more information about our services.