The worse thing homeowners can do is find out after a flood has occurred in their home that the damage is not covered by their homeowners policy. Also, many homeowners are under the assumption that if they don’t live in a flood plain then they don’t need flood insurance.
Floods can occur as a result of a storm, melting snow, hurricane, water backup due to inadequate or overloading drainage or a broken water main. FEMA estimates that 30% of flood claims are filed by homeowners living in low to moderate flood risk areas.
The cost of flood insurance is based on the area you where you live. The average cost of flood insurance is $958 per year or $80 per month. However, keep in mind this may vary if you live in a flood plain or if you live in a low flood risk area.