Overland flooding is covered by flood insurance, which is a sort of home insurance. Things have changed as a result of global climate change. Previously, this type of insurance was unusual, but the increased frequency of natural flooding disasters has altered people's thinking. Individual homeowners must decide whether and how to insure themselves against floods in the meantime.

Flood is handled differently by insurers in their policies:

  • Many insurers make flood insurance a requirement when they buy a home insurance policy
  • Some insurers include flood insurance as a regular feature but allow policyholders to opt out if they don't want it. This is known as opt-out flood insurance
  • Some insurers will only cover flood damage in policies with very low stated limits
  • Some insurance companies refuse to cover flood damage under any circumstances.
  • Other flood insurance and water damage endorsements must be added to your policy to ensure coverage for all foreseeable scenarios.

    Basic coverage

    A standard policy only covers specific dangers. You can, for example, get insurance for a specific event, such as a lightning strike. If your home is vandalized, on the other hand, you will be unable to obtain coverage. As a result, it is the cheapest but also the riskiest option.

    Broad coverage

    The structure of your home is covered by broad insurance, but the contents are not unless they are specified as a peril. Let's say you're moving a TV and it falls on the floor; the floor, not the TV, will be covered.

    Comprehensive coverage

    The most comprehensive policy protects the structure and its contents against all dangers, as well as some optional coverages including sewer backup, earthquakes, and overland flooding.

    Flood insurance endorsements and types of water damage coverage

    A flood can be caused by a variety of things, not just a busted pipe. When it rains a lot, the city's main drains can back up and flood your basement. Rivers and ponds that are overflowing may cause a surge of groundwater to seep into your property. Heavy snowmelt can do significant damage to your foundation. Here are some flood insurance choices to examine in your specific scenario.

    Add-ons to your house insurance policy for flood insurance:

    Sewer backup

    A sewer backlog happens when a clog occurs in the main sewage system, causing wastewater to run backward and possibly into your home. Broken pipes, tree roots, or too much rainwater or thawing snow entering the system can all produce a mainline sewer obstruction.

    Overland water coverage

    When floodwater covers the ordinarily dry ground, it is called an inland flood. You might assume the only hazard is if you live near a pond, lake, river, or stream, but heavy rain and melting snow around your house are the most prevalent causes.

    Coastal (or storm surge) flood

    If you reside near the water on the east or west coast, be aware that you are in danger because most comprehensive home insurance policies do not cover flooding. According to a recent survey conducted by Partners for Action, 94% of Canadians living in high-risk flood zones are ignorant of their vulnerability. Furthermore, only around a third of those polled are taking any steps to protect their property from flooding.