Contact: Yeraldin
Deavila, Public Information Officer
Phone: (775)
687-0772
E-mail: ydeavila@doi.nv.gov
FOR IMMEDIATE
RELEASE– July 9, 2015
Nevada Division of
Insurance offers tips on flood insurance
CARSON CITY – With
the National Weather Service issuing flash flood warnings in several areas of
Nevada over the past few days, the Nevada Division of Insurance encourages
consumers to take action and understand flood insurance to protect their
property from this hazard. Floods, including flash floods, are one of the top 3
weather-related hazards faced by Nevadans.
“We recommend that homeowners talk to their insurance agent to
determine if their property should be covered for flood damages,” said Acting
Insurance Commissioner Amy Parks. “Most standard homeowner and business owner
insurance policies exclude damage to property from flooding.”
Understand what is
covered and not covered in flood insurance:
A Flood insurance policy covers “water damage”: (1) flood,
surface water, waves, tidal water, tsunami, seiche, overflow of a body of
water, or spray from any of these, all whether driven by wind or not; (2) water
or sewage from outside the residence premises plumbing system that enters
through sewers or drains, or water which enters into and overflows from within
a sump pump.
Be aware that damage to a vehicle from flooding is only
covered under your automobile insurance policy if you have purchased
Comprehensive coverage.
Recent flash flood events have also resulted in damage to
property from mudslides or rockslides. Such damage is NOT covered by your home
or a flood insurance policy. Damage from mudslides, rockslides and other “earth
movements” are only covered under an earthquake insurance policy or
endorsement. Earth movement means the sinking, rising, shifting, expanding or
contracting of earth, all whether combined with water or not. Earth movement
includes but is not limited to earthquake, landslide, mudflow, mudslide,
sinkhole, subsidence, erosion or movement resulting from improper compaction,
site selection or any other external forces.
How to obtain flood
insurance:
Coverage for damage from flood is available via a Flood
Insurance policy issued by the National Flood Insurance Program (NFIP)
administered by FEMA: www.Floodsmart.gov
or call 888-379-9531. You can also call your agent, as they can facilitate with
applying for and obtaining a NFIP flood insurance policy. Be aware that there
is a 30-day waiting period before a flood insurance policy is effective. Adding
an earthquake endorsement to your home policy will ensure coverage for any
damage caused by “earth movement” including mudslides.
What to do if there
is already flood damage to the property:
Consumers who have been affected by flooding or mud related
damage may file a claim with the home or property insurer – even if they do not
have flood or earthquake insurance. This may be important because if an area is
declared a major federal disaster area, a proof of claim-denial may be required
to determine a consumer’s eligibility for federal aid.
Resources:
Consumers can obtain flood, home, and earthquake insurance
guides by visiting the Division
of Insurance website. Page 10 of the Flood Guide provides a general
comparison of what is covered and what is NOT covered for water-related damage
in a standard home policy and a flood policy.
About the Nevada
Division of Insurance
The State of Nevada Division of Insurance, a division of the
Nevada Department of Business and Industry, protects the rights of Nevada
consumers and regulates Nevada’s $11.9 billion insurance industry. The division
has offices in Carson City and Las Vegas. In 2014, the Division investigated
more than 2,800 consumer complaints and recovered nearly $4 million on behalf
of consumers. For more information about the Division of Insurance, visit
DOI.NV.GOV or download the Division’s smartphone app NDOI Connect today in the
Apple App Store and Google Play.
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