Flood Insurance

Here in New York, few of us can forget the damage and destruction caused by Superstorm Sandy—the second most costly hurricane in U.S. history. Likewise, Hurricane Irene caused roughly $15.6 billion in damage when it hit the East Coast in 2011. At that time, many people learned the hard way that homeowners insurance doesn’t cover flood damage, and thousands of people faced costly home repairs with no assistance from insurance companies.

Should a Category 4 storm hit, roughly 220,000 Long Island residents would find their homes in a designated flood zone. As a New York-based business, Shore Line Insurance Agency, Inc. understands first-hand all that goes into a post-storm cleanup and the costs associated with structural repairs. We also realize that people may have questions about flood coverage, and our industry experts are happy to provide some answers.

What does flood insurance cover?

A flood policy provides reimbursement for structural damage, flood debris cleanup, repair or replacement of electrical systems, plumbing systems, furnaces, water heaters and central air conditioning systems.

In the event that our home is damaged in a storm, will we receive federal disaster assistance from the government?

To receive federal aid from the government, the president would first need to formally declare a disaster. Even if that happens and you do receive federal aid, it is often in the form of a loan that must be repaid with interest, and it generally is not enough to cover ALL the damage. Relying on federal aid to help you recover from a storm is the same as assuming you don’t need medical insurance because you have a first-aid kit.

Can I hold off on getting a flood policy until hurricane season?

No. A flood policy generally doesn’t take effect until 30 days after you sign up. Flood insurance is controlled by the National Flood Insurance Program (NFIP) and sold through private insurers, so the rates you receive are guaranteed to be fair.

My business operates out of a leased building; do I still need commercial flood insurance?

Absolutely. There are two general types of commercial flood coverage:

• Commercial Building: If you own the building, this covers the structure and the contents, up to $500,000 for each.
• Commercial Contents: If you rent or lease space, this will cover inventory, equipment and computers/machinery, up to $500,000.

Don’t wait for hurricane season to get flood protection. Contact Shore Line Insurance Agency, Inc. today at 631-744-1200 for more information.