How to determine your need for flood insurance

March 12, 2012

After purchasing your home, you may be wondering what steps you should take to ensure that your new investment remains protected. When determining whether you should purchase flood insurance, consider the following advice from the National Flood Insurance Program (NFIP).

According to the NFIP, anywhere it rains has the potential to experience flooding. Flooding can be started by a variety of weather conditions, including hurricanes, or can result from outdated drainage systems and severe rainfalls or spring snowmelt.

The NFIP also reports that even areas that have never experienced a flood are still at risk for future incidences, as flood risk is not solely based on history. Minnesota homeowners are urged to check flood-hazard maps produced by the agency for help determining the need for, and cost of, flood insurance.

As a homeowner, when determining the risks in your property's location, you may find your area listed as either having a moderate-to-low risk or high-risk, and the NFIP says your insurance premiums are dependent upon your area's level of risk. If you live in a moderate-to-low risk area, you may qualify for coverage at a lower rate. To determine the cost and coverage of flood insurance for your home, contact an Edina Realty Insurance representative.