Flood Insurance: Just do it.
I received a letter recently from one of our clients (a member in good standing with our Agency). He explained that his parents had their auto, home, life and flood insurance with us.
Here in Houston on one of those typical spring days a thunderstorm developed and it rained. The storm stalled over their part of the neighborhood.
Well as you would expect, it flooded. The street flooded and the first four houses closest to the main entrance had the most water in them due to the way the water drained from the subdivision.
The policyholders had almost two inches of water in their home. Out of all the homes on the street they were the only one to have flood insurance.
Needless to say, they were grateful.
Perhaps grateful is an understatement. With $11,000 worth of damage to the house, they had to pay only $1,000. Because of the insurance their home was put back together in weeks and not months like their neighbor.
One house was over a year in disrepair. The neighbors had to borrow from a bank or family or friends and they could not get a second mortgage until the home was repaired.
I could tell you that flood insurance is very inexpensive (and it is) or that it is necessary (and it is) and that every home is in a flood zone (that is true too) but nothing will make you purchase flood insurance.
Just do it.