Brier Grieves May 1, 2015 No Comments

There have been many changes to flood insurance in the past 2 years. Some more were just instituted last month. Have you kept up to date to see if you will be affected when its time to renew? As of April 1st, 2015 new changes were made to flood insurance where for some this will result in lower rates and more affordable insurance, for others though, the cost will be going up. These are important changes to know for your current insurance and new insurance if you are looking to purchase a new home that may be in a flood zone. If you are buying a new home check this list for some questions you should ask before making your final decision. 

If you do not live in an area that is considered a flood zone you are not required (in most cases) to obtain flood insurance. This is never recommended though. At any time a pipe could burst and cause massive destruction to your home. Most people are not aware that your homeowners insurance policy does not include damages caused by flooding. This is a separate policy you need to obtain. If you are not in a flood zone your policy will most likely not be very costly, the destruction caused by water damage is.

How you reviewed your policies lately? We encourage you to do so. If you have any questions please call us at 813.876.4166

Also, check out this quiz and test your flood insurance knowledge. Post your answers in the comments to be entered in our summer drawing.

 

  1. Is the SFHDF mandatory for all real estate-related loans?
  2. If the SFHDF form shows the property is not in a flood zone but the map indicates it is in a flood zone, which controls?
  3. Can a lender waive flood insurance on a piece of property?
  4. What happens if a lender disagrees with FEMA about a property?
  5. When is a loan considered “made” for flood insurance purposes?
  6. What evidence of coverage does a bank need to have at closing?
  7. How long does proof of coverage have to be maintained?
  8. What rules apply to second mortgage loans?
  9. Do the same rules apply for business and construction loans?
  10. Do the new Consumer Protection regulations that became effective october 1, 2001 apply to flood insurance?