Our Houston-based insurance brokerage focuses on hard-to-place, risky, middle market companies. Outsourced Risk Managers levels the playing field, leverages our resources, and assists you from a place of sincerity. Our goal is to give you better coverage, better pricing, better service, and more resources as your risk managers. We look forward to helping protect your company.
#Insuranceanswers: Flood Insurance vs Water Damage
Hello and Welcome back to another edition of insurance answers, I'm your host Billy Bray. We get a lot of questions asking about what the difference is between flood insurance and water damage. A lot of people think it’s the same thing while others are not so sure. Here's an easy way to remember what flood insurance is, flood insurance is rising water from the ground. If you have a pipe break in your warehouse and then the water rises, that is NOT flood insurance. That is water damage. What if you have some backup in your sewer and drain? It could be caused by floods and rising water, but it is a separate sub-limit on your property insurance policy. You want to make sure you understand the difference and you want to ask yourself, “do I have a backup of sewer and drain?” It doesn’t happen very often but when it does you are going to need it remediated. Another question you want to ask yourself is, “Do I have water damage for a broken pipe, a bursted pipe, or something that busts out of the sheetrock?” You’ve got to go do remediation. And finally, ask yourself, “do I have flood insurance?” It is really important to understand the difference and if you don't know, contact your broker and ask them to explain it to you. If you get nowhere with them, contact us and we will be happy to assist you.