Momentum - Business to Business Online Magazine MOMENTUM Summer 2018 | Page 21

FLOOD INSURANCE Is It Really Necessary? By: Jan Laman [email protected] Harbour Insurance Services, Inc. Just ask all the homeowners and businesses who sustained massive flood losses in Hurricane Harvey. Many homes and businesses in the last catastrophic flood event had NEVER flooded before. With all the changes in Flood Insurance Legislation recently, it’s more important than ever to seriously consider buying Flood Insurance. Your home may, at this time, sit in Flood Zone “X”. This is the least likely area to sustain a flood. You can qualify for a “Preferred Risk Flood Policy”. Unfortunately for some of us, maps are changing. This could change your home to a higher rated Flood Zone. If you currently have a policy in place, rated in the lower cost zone, you can be Grandfathered in that zone as long as you keep your policy in force. This will keep your rates lower than they would have been in the higher rated zone in most cases. WHAT HAPPENS WHEN YOU WANT TO SELL YOUR HOME? All NFIP policies can be transferred to a new owner. Having a lower rated, “Grandfathered” policy in force at the time of sale is a great benefit to your buyer and may be the one thing that will close the sale. You can transfer your policy directly to the new owner at the Grandfathered rate. FOR BUSINESSES Let’s face it. There are so many things that can disrupt your business and put a serious dent in your bottom line. It is so important to consider what a flood loss could do. Make sure you protect your business for Flood along with your current coverage. Flood Insurance is available for buildings and/or contents. MOMENTUM / Summer 2018 20