Last updated Sep. 28, 2006
A large number of homes in the United States have at least one problem. That problem may be a structural problem or just a problem with where the home is located. Many individuals associate a high rate of crime with a home problem, but few associate floods with them. The truth is that many individuals are living in a flood zone and the location of their home could be costing them more money then they ever imagined.
Flood zones are defined as areas that are at risk for flooding. This flooding often comes from flash floods or too much rain that causes a stream, river, or lake to gradually flood. An area is declared a flood zone by the Federal Emergency Management Agency (FEMA).
The Federal Emergency Management Agency (FEMA) uses a wide variety of scientific resources to determine whether or not a specific area can be labeled a flood zone. After the information has been complied and a decision has been made, a flood insurance map is developed. FEMA Flood Insurance Rate Maps detail the likelihood of a flood occurring in a particular area.
All FEMA Flood Insurance Rate Maps are public documents. This means that just about any individual who wishes to view a FEMA Flood Insurance Rate Map can do so. Flood insurance maps are beneficial to a wide variety of individuals, but they can also cause problems. An individual who is selling their home or business may have a difficult time selling it, especially if the home or business for sale is located in a flood zone.
While it can be hard to sell a business or a home in a flood zone, it is not extremely difficult. There are a large number of individuals who feel comfortable purchasing a home, even if it may be at risk for flooding. This is because many homeowners that know that they live in a flood zone area purchase flood zone insurance. Flood zone insurance is flood insurance that is offered to individuals that live in a known flood zone.
Flood zone insurance is the same type of insurance that every other American receives, whether or not they live in an area that is prone to flooding. Until recently, a large number of business owners and homeowners living in a flood zone had a difficult time obtaining insurance. Many insurance companies saw these homes and businesses as a risk. In 1968 the National Flood Insurance Program was developed and that all changed.
The National Flood Insurance Program was developed because the government realized there was a problem with Americans obtaining affordable insurance in flood zones. Since the development of the National Flood Insurance Program residents in a flood zone are able to obtain flood zone insurance and at an easily affordable price. In fact, there are a number of flood insurance agents that offer flood zone insurance at a discounted price. AmeriFlood currently offers discounts in the form of a 12% upfront rebate.
If you currently live in a flood zone or plan on moving into one, it is important that you understand why flood insurance is needed. When the Federal Emergency Management Agency (FEMA) designates an area a flood zone, they almost know for certain that a flood will occur there sometime in the future. Do not be left unprotected, especially when the warning signs were so easy to see.
CJ Preston is a writer for www.ameriflood.com where you can find more information about flood insurance and how to receive a 12% rebate on your flood insurance policy.