On the heels of devastating damage on the East Coast due to hurricane Sandy, there has been a renewed concern about homeowners’ lack of flood insurance.  While people in California don’t have to be worried about massive hurricanes, there are other dangers which are present.  The Association of 

California Water Agencies has data to show that over the last 20 years, every county in California has at least one federal flood disaster declared.  Rainwater from storms, tsunamis, mud and debris flows, as well as other types of floods are typical in California.

At this time, homeowners are provided with flood insurance from the National Flood Insurance Program which is run by FEMA.  It is far too expensive for insurance companies to pay for themselves so it is funded by the government.  Though, it is purchased through private insurance companies as an extra to your homeowner’s insurance policy.  Presently, the debt-strapped National Flood Insurance Program has a $20.8 billion cap in the amount of money it can borrow from the U.S. Treasury to pay flood-loss claims. But the program has already borrowed around $18 billion, mainly to pay for Hurricane Katrina in 2005.

Flood Insurance Policies typically cost around $600 a year, but can start as low as $129 in low-risk areas, according to the Federal Emergency Management Agency. The average claim paid last year was more than $28,000. Coverage is provided for up to $250,000 for the home itself, and $100,000 for possessions.  Don’t be caught off guard like the people on the eastern seaboard of the United States.  Contact a helpful insurance agent at Wise Insurance Agency in Marin County today who will help you protect your property.