Devoted to the Insurance industry and all thing related

I would think that at least half of Louisiana homeowners would have flood insurance for their homes.  As it stands today “only 31 percent of the state’s households are covered” according to Louisiana Insurance Commissioner Jim Donelon in a National Underwriter article.

I hope most homeowners already know that most homeowners’ insurance policies don’t cover flooding.  It’s necessary to purchase a separate policy from the National Flood Insurance Program.  Also be aware that it takes 30 days before the policy will go into effect.  Donelon revealed some sobering statistics about flooding in Louisiana.

"Twenty-to-25 percent of all flood claims occur outside of the floodplain, in low-to-moderate flood risk areas.

Louisiana’s close proximity to the Mississippi River and Gulf of Mexico, as well as the 50 rivers, streams and bayous in the state, leave many of the state’s 1.6 million households at an increased flood risk.

 

In the last 10 years, Louisiana has experienced 11 flood-related, federally declared disasters.

There is a 26 percent chance of experiencing a flood during the life of a 30-year mortgage, compared with a 9 percent chance of fire.

Some of the most damaging floods after a hurricane occur hundreds of miles from the coast.

Homeowners can purchase a flood insurance policy that offers a maximum of $250,000 coverage on the building and $100,000 coverage for contents. However, excess flood insurance coverage can be purchased for properties that need to be insured at a higher value.

Renters and lessees who meet underwriting criteria are eligible for contents-only coverage."