Flood insurance is an essential element of protecting your home and business, but many property owners don't understand it. According to a survey by ValuePenguin, 47% of homeowners don't know what their insurance covers. If you don't have flood insurance but want to know more, here are some of the things a flood insurance company covers.

Flooding Caused by Inland or Tidal Waters

If your home or business is located near the ocean or near a creek or river, flood insurance can protect you from damage caused by those bodies of water. This type of protection is essential because major floods can destroy entire homes, so a flood insurance company can help you rebuild after your home is hit by a flood.

It's important to keep in mind that you may be required to carry flood insurance depending on the location of your home. If your home is located in a flood zone, your mortgage lender will typically require that you carry flood insurance until you've paid off a certain percentage of your mortgage. Make sure you talk to your mortgage lender about flood insurance requirements when you purchase your home.

Mudflow and Erosion

Water isn't always the primary concern when it comes to flooding. In many cases, flooding leads to landslides and mudflow, which can be a serious problem for homeowners. These problems are especially troublesome if you live at the bottom of a hill or on a piece of land that's prone to erosion. With flood insurance, you can get coverage in the event that mudflow causes damage to your home. Because mudflow often occurs as a result of inclement weather and flooding, this is one of the key parts of flood insurance.

Unusual Accumulation of Runoff of Surface Water

Regardless of the source of water that's near your home, you have a reasonable expectation that runoff from those water sources won't damage your home. A common example of unusual runoff of surface water is a wastewater treatment plant that may overflow as a result of heavy rainfall or similar issues.

Getting flood insurance is a great way to protect your home in the event of inclement weather that leads to flooding. If you own a home near water, contact us at Evolve Insurance Agency to learn more about flood insurance today.