Media Contact:
Vincent Plymell
vincent.plymell@state.co.us
Homeowners’ insurance doesn’t cover flooding.
DENVER - As we dive deeper into spring, the Colorado Division of Insurance (DOI), part of the Department of Regulatory Agencies (DORA), encourages people to start thinking about buying flood insurance. As homeowners’ insurance doesn’t cover flood damage, flood insurance must be purchased as a separate policy. And when just one inch of flood water can cause thousands of dollars in damage, it is valuable coverage.
Because there is typically a 30-day waiting period after applying and paying the first premium for the insurance to become effective, now is the time to consider flood insurance. Spring brings more rain than snow. The state’s good snow season will turn into heavy run-off when it melts, which could lead to flooding. And serious thunderstorms and hail storms are just around the corner.
Buying Flood Insurance
The Federal Emergency Management Agency (FEMA) administers the National Flood Insurance Program (NFIP), a federally subsidized program available to any property owner —homeowners, renters, condominium owners and associations, as well as businesses and commercial properties — whether or not the property is in a floodplain. National Flood Insurance premiums vary depending on location and the type of coverage chosen. Coverage choices include insuring only the structure of a home or also including its contents.
Contact your insurance agent about buying flood insurance. If you do not have an agent or your agent does not sell flood insurance, contact the NFIP at 877-336-2627 or go to floodsmart.gov to get the name of an agent in your area. Know that to buy an NFIP flood insurance policy, your community must participate in the program.
You can find a list of participating communities on FEMA’s National Flood Insurance Program Community Status Book.
Again, remember that typically there is a 30-day waiting period after paying the first premium for flood insurance to become effective.
Floods Can Happen in Medium and Low-Risk Flood Zones
Floods can happen anywhere, anytime. They often accompany natural disasters such as storms, early or rapid snowmelts or rising rivers, but not always. About 25% of all flood insurance claims come from outside of high-risk areas. Regardless of the risk factor of an area, homeowners insurance does not cover flood damage, which is why separate flood insurance is so important.
The wildfires that we’ve seen so often in our state also create landscapes more prone to flooding. The fires leave the ground charred, barren and unable to absorb water, making conditions ripe for flash floods and mud flows. And the flood risk stays high for up to five years after a wildfire.
To help people determine their flood risk and the need for flood insurance, FEMA offers Flood Insurance Rate Maps, which are updated regularly. These maps also show your community’s flood risk and are all available at floodsmart.gov
For more information, visit the DOI flood insurance webpage or the FEMA / NFIP website floodsmart.gov.
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About the Division of Insurance:
The Colorado Division of Insurance (DOI), part of the Department of Regulatory Agencies (DORA), regulates the insurance industry and assists consumers and other stakeholders with insurance issues. Visit doi.colorado.gov for more information or call 303-894-7499 / toll free 800-930-3745.
About DORA:
DORA is dedicated to preserving the integrity of the marketplace and is committed to promoting a fair and competitive business environment in Colorado. Consumer protection is our mission. Visit dora.colorado.gov for more information or call 303-894-7855 / toll free 800-886-7675.