WASHINGTON – May 6, 2019 – While some Florida homeowners have private options, national flood insurance has a 30-day waiting period in most cases – and hurricane season starts in 25 days.
As it stands now, the entire National Flood Insurance Program (NFIP) expires on May 31, 2019. Should that happen, homeowners won’t lose coverage but homebuyers may not be able to secure coverage even if it’s demanded by their lender. Congress may have a new plan in place for the program by then, or they may authorize a short-term extension as they have done in the past.
In any case, homeowners and buyers should prepare for the possibility of another NFIP hiatus. NFIP issued the following commonly asked questions about flood insurance coverage:
Why do I need flood insurance?
Standard homeowner’s insurance policies do not cover floods, and it’s wise to consider flood insurance even if you are not required to purchase it. Even if you live outside a high-risk flood zone, called a Special Flood Hazard Area, it’s a wise decision to buy flood insurance. In fact, statistics show that people who live outside high-risk areas file more than 25 percent of flood claims nationwide.
Source: © 2019 Florida Realtors®