The federal government considers floods the nation's most common natural disaster. They strike every state and leave homeowners with huge repair costs. But most homeowners insurance policies don't protect from those losses.
Why? Because typical homeowners insurance doesn't cover flood damage.
Those policies may provide protection for water damage when it comes through a hole in the roof and or from wind-driven rain. But coverage doesn't extend to damage caused by water from a storm-swollen river, torrential rainfall or other flood-inducing conditions.
Homeowners are required to purchase flood insurance if they have a federally backed mortgage and live in a high-risk flood area as identified by the National Flood Insurance Program.
For others, though, it's optional.
With premiums starting as low as $171 a year for a home and its contents, it's coverage homeowners may want to consider