Question:
We are trying to purchase a fixer upper in Va. The town is close to the water, yet has never flooded significantly (causing property damage). When speaking to residents, they say only the first two blocks from the beach are required. They say practically nobody actually has flood insurance.(except those who have to) The houses in this town are not even elevated.(Not even beachfront)(Mine is on concrete block 18 inches)Yet I read other places that all flood zones are required to have flood insurance. The town is considered in a 100 year flood plain, with a 1% chance per year. What is the real story? The quotes I have gotten have been very high, which is surprising, as they have NEVER had a flood. What gives? Could someone please explain? I want to get flood insurance, but it doesnt seem fair that they are charging so much with no history of floods in the area.
Answers:
A5 is a 100yr flood zone. A zones are inland & V zones are on the coast. Only B,C & X are considered not in the 100yr flood plain & eligible for the preferred risk rate. Flood insurance is high. Engineers do these maps and they are very detailed. Have your agent show you one if they still have them in the office. Many of them even have the existing buildings drawn in. Just because something hasn't flooded, recently, does not mean it won't flood. How far back do these people remember??
Just because houses are not elevated, does not mean they are not in a flood zone, it just means that they were all built before the ordinances were enacted that would require them to be elevated. Houses that are already built, are grandfathered. If you plan to do significant work to this house, you had better check with the town BEFORE you buy & tell them your plans to find out if you will have to do anything extra to be in compliance with the laws of building or changing a building in the flood zone. In order for the town to participate in the National Flood Insurance Program (NFIP), it is required that the town enact certain ordinances & zoning for buildings & roads & culvert sizes, etc. If you REALLY feel your house is not in a flood plain (for example it sits on a hill way above any water (pond, stream, lake, etc), you can hire an engineer to find out & if you are correct, have him issue a letter of map amendment. With that, you may qualify for the preferred rate, IF your house is then in a B, C or X zone.
If the house was built before the latest flood map, it is considered preFIRM and no elevation certificate would be needed but, if you got one it could reduce your rate if your house is "elevated" above the flood plain. The point at which your house is measured for the elevation certificate is the bottom of your basement or crawl space floor (not the first floor or where the framing starts). If the house has concrete blocks, it sounds as if you at least have a crawl space. If the house was built after the flood map date, it is postFIRM and an elevation certificate would be required. This has to be done by an engineer or surveyor at your cost. The cost would depend on how far the house is from the closest "pin" where the elevation of the land from the high water mark has been measured.
It is good you want flood insurance because if you have a mortgage, they will require it. The mortgage company will only require you carry the amount of the mortgage (or $250,000 which is the maximum available coverage if the mortgage is more than that).
It is best that you call your agent to have this all explained to you. He should be able to explain to you what is considered a flood. You should ask for some contents coverage, but, if there is a flood coming & you have contents in your basement, be sure to get them upstairs because coverage for contents in basements is VERY limited.
If your agent can't explain flood, find an agent that knows something about it. The premium for the same coverages will be the same no matter where you go because it is underwritten by the Federal Government, even if there is an actual insurance company name on the policy. You will also have to pay in full when you get the policy.
I hope this helps you.
If you are investing any money in a home, then the natural course of events should be that you protect that INVESTMENT for any and all kinds of problems. Like; THEFT, VANDALISM, HURRICANES, TORNADOES, FLOODS, etc. even if none of these things happen, you spend the money, because if one of these catastrophes takes place, your investment might wind up totally lost. The few dollars that it will cost you per month is well worth it to be protected from all the elements listed above. If you on the computer, various companies do comparison quotes, find out which is the best for your needs and buy it. Most renters' insurance can be paid on a monthly basis.
This actually depends on your mortgagee co requiremtns. In MOST cases any zone starting with an 'A' or a 'V' is required by the mortgage co to have flood insurance. Dont forget, just because other people dont have it, doesnt mean you shouldnt have it. Also, just because it hasn't flooded yet, doesn't make it any less likely to flood.
Also, make sure an agent is quoting the property correctly, this can only be done with an elevation certificate if the proeerty like you say, is elevated. All agents writing through the NFIP (National Flood Insurance Program) will have the same rates, as required by federal law.
Hope this helps.
PS..
Lord.. ok you dont need renters insurance, you need a flood policy, dwelling or hazard policies dont cover flood, and NFIP policies are required to be paid in full. just FYI!
Stupid people! Why you gotta act like you know when you dont know?
This article contents is post by this website user, HiAnswer.com doesn't promise its accuracy.
More Questions & Answers...