Monday, January 07, 2008

Flood Insurance Basics - Facts You Must Know

By John Paige

There is no conventional definition of flood. It is not that a lot of water comes rushing to your house and destroys all that you have and takes it down the river. An inch of water rising can cause excessive disaster and damage to your property and its contents.

A flood can happen when you are out for a picnic or while you are fast asleep. A flood does not have holidays and it occurs at the time when it is least expected. Most of the times you cant do anything when it happens. This is the prime reason for you to have a flood insurance policy, which is specially to protect your property when it is damaged by the flood.

If you happen to leave in a high risk area for flood, then you should particularly resort to obtaining such a policy. Various insurance companies that offer such policies take the help of many means including the use of topographical maps to determine whether your area falls into any such high risk area to flood damages. This forces many providers to decline your request if you fall into a high risk area.

There are many types of insurance out there. There are more common types such as health insurance, auto insurance, and life insurance. Many people don't think about flood insurance until it is too late. If you live in a high risk area, it is simply crucial that you get a flood insurance policy.

Data shows that total damages for floods are 30 times higher than that for fires. This is certainly more pertinent if you live in a high risk flood zone. If you truly value the home and possessions you have worked so hard to acquire, then don't deny getting a policy simply to save a few hundred dollars a year. Once a flood comes, it is already too late to recover all that your have lost. It is much wiser to spend a couple hundred dollars a year than to find yourself not only buying all new clothes and furniture, but a new house to put them in.

There are several factors that contribute to flooding, for instance the urbanization is one of the reason for the actuation of flooding. This is due to the decreased ability of land to hold water. This ability is decreased due to the increased number of constructions that replace the natural land.

Another major factor in flooding is the slow changing of global climates. Tidal water overflow or the sliding and shifting of coastal land also causes flooding.

Flood insurance in the UK offers a great service and benefit, but due to the increased frequency of floods, there has been an equal increase in premiums. It is crucial to have a flood insurance policy, because in the event of a flood it will be almost impossible to quickly recover and regain all you have lost if you lose your home and all the contents therein.

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