A flood can occur just about anywhere and not only during hurricane season. Once it happens, it's too late to prevent financial loss if you're without flood insurance. Your homeowners' policy does not cover you for flood damage. You don't have to live near water to be flooded. Floods are commonly caused by storms, melting snow, dam or levee failure or water backup due to overloaded drainage systems.
Flood insurance is affordable.
Flood insurance claims are paid even when a federal disaster is not declared. Increasing the number of properties with flood insurance significantly reduces the financial burden placed on federal and state taxpayers following a flood disaster. Flood insurance claims are paid with premiums collected, not taxpayer dollars. The average cost to repay a disaster loan, available only if a federal disaster is declared, is approximately 12 times as expensive as paying the average annual flood insurance premium. Your mortgage company or bank may require you to carry flood insurance, but it is your responsibility to maintain adequate coverage limits.