Paying for flood damages can cost a pretty penny, $2,500,000 worth of pennies, that is. According to Floodsmart.gov, just one inch of water can cost you $25,000. And although you may believe yourself to be unaffected, the Federal Emergency Management Agency reports floods occur in every region of the U.S.
Flood insurance is separate from homeowners policies and once purchased, the owner must wait 30 days for it to take effect. Before rethinking how necessary flood insurance is, however, consider this: Ninety percent of all natural disasters in the U.S. involve flooding, and 20% of all flood claims are filed in low to moderate flood risk areas, according to the Insurance Information Institute.
If you want to verify your flood risk, you can check out FEMA’s Flood Map Service Center.
If you wish to calculate how much flood damages could cost you, you can visit Floodsmart.gov to use their interactive estimator. The estimator accounts for the type of home and height of the flood level.
According to The Balance, the average cost of repairs after water damage can be pricey. These statistics are to be factored in after water removal, which at its worst, can cost $7 per square foot:
- Replacing damaged drywall $1.40/sq. ft.
- Repairing damaged plaster walls $6.25 – $18.75/sq. ft.
- Refinishing hardwood floors $10.45/sq. ft.
- Replacing carpets $4.70 – $5.50/sq. ft.
- Woodwork $70 an hour for carpentry work
- Mold remediation $5.00/sq. ft.
The difference between paying for damages with and without insurance is significant. Disaster assistance comes in two forms: a U.S. Small Business Administration loan, which must be paid back with interest, or a FEMA disaster grant, which is about $5,000 on average per household. By comparison, the average flood insurance claim is nearly $30,000 and does not have to be repaid. If you’ve decided flood insurance is worth investing in, talk to our agents for a quote today:CONTACT US