The last two years have been fairly mild on the U.S. Atlantic and Gulf coasts, but that is not any indication that this trend will continue. According to new data from CoreLogic that has been released in June of this year, there are more than 6.6 million residences in these areas at risk for damage from a storm surge. The data also shows that the total reconstruction cost value (or RCV) is nearly $1.5 trillion. This includes homes at risk for storm surges and hurricanes up to Category 5.
The Numbers for Louisiana are Alarming
Louisiana homeowners should be especially concerned, because the 2015 CoreLogic Storm Surge Report shows that the state ranks at #2 for high risk of damage, with Florida being listed as #1. The data shows the number of houses that are at-risk in Louisiana based on the type of storm:
This comes out to a total of 760,272 homes that are at risk for significant damage in the state of Louisiana alone.
Homeowners Must Assess Insurance Coverage
Louisiana homeowners typically carry homeowner’s insurance policies, but these policies may not be enough to address the risk of a storm surge. Homes that are not listed in the FEMA flood hazard zone are not required by law to carry flood insurance, but that does not mean they are without risk. Flood insurance combined with adequate homeowner’s coverage is your best defense against storm surges and hurricane damage.
As a homeowner, you cannot afford to rely on flood related disaster assistance. When widespread, extensive flooding occurs, disaster proclamations and assistance is not always available nor will it adequately cover your losses. Also, these are loans that are repaid to the government with interest, and if the zone is not declared a natural disaster zone, then federal loans and assistance may not be available either.
Because policies can have long wait-periods, you should act now to improve your Louisiana flood insurance coverage before the next storm is on the horizon.
The Nowell Agency can assist you with answering any questions you may have about flood insurance and homeowner’s insurance. Contact our Louisiana office at 888-675-1842 now or request a quote online.