When Rising Water Is Called a Flood

Most everyone experiences a surprise “flood” in one situation or another, whether a formally declared flood such as caused by a hurricane, or a swamped basement because a sump pump couldn’t keep up following a spring thunderstorm. There are multiple definitions of what constitutes a “flood.” Some floods are addressed easily by insurance, some are clearly excluded.

Under the typical insurance policy the following clause exists:

Water Exclusion Endorsement
“We [the insurance company] will not pay for loss or damage caused directly or indirectly by any of the following:

Water. This includes flood, surface water, waves, tides, tidal waves, overflow of any body of water, or their spray, all whether driven by wind or not; water that backs up or overflows from a sewer, drain or sump; or water under the ground surface pressing on, or flowing or seeping through: foundations, walls, floors or paved surfaces; basements; doors, windows or other openings.”

Coverage for floods is available through the National Flood Insurance Program (NFIP) or through certain insurance companies who then are re-insured by the Federal government. These policies may be obtained for buildings as well as contents, but not for loss of business revenue. A thorough review should be made of your exposures to flood loss and insurance purchase should be considered.

Since there is a 30-day “waiting period” before flood coverage goes into effect, it is important to think proactively. We would welcome the opportunity to provide a brief review of your current policy at no cost or obligation.

Contact the Merriam Agency to set an appointment to review your policy coverage.

Brian H Merriam, CPCU, ARM, AAI, President

Brian H Merriam, CPCU, ARM, AAI, President

376 Broadway
Schenectady, NY 12301-1038

(877) MERRIAM x 201
(877) 637-7426 x 201