The recent flooding in Colorado can only be described as devastating, and our hearts go out to all those affected. Housefax has staff, family and friends that live in Boulder, and we have seen first hand the terrible toll this storm has taken.
According to FEMA, more than 7,200 homes and business were damaged during the flood, and unfortunately, more than 1,200 of these homeowners and business owners were without flood insurance. Eqecat, a firm that conducts loss estimates for the insurance industry, estimates that the flooding will cost homeowners around $900 million in damages and expenses. Unfortunately, people needing to cover hefty repair costs without the proper insurance are left with little option other than low-cost government loans and community-based relief efforts.
“It’s critical that homebuyers and homeowners assess their home’s risk for catastrophes, and not just for flooding, but sink holes and fires,” said Eddy Lang, CEO of Housefax. “I’ve worked in the insurance industry for 20 years and I’ve had countless people tell me they didn’t realize additional coverage was needed for their home, either because they thought it was covered or didn’t realize their home was at risk.
Most people have a tendency to think that any water damage is covered in their homeowners insurance, when in fact there are specific water losses that are excluded from all policies. Most policies will exclude any type of water overflow or seepage. This is where assuming something is covered instead of finding out for sure can be harmful. Be sure to do your due diligence before you buy and take the proper steps to ensure that you and your family are protected from catastrophe.