Do I Need Flood Insurance in New Jersey?

When you own a property, there are numerous risk factors you'll have to take into account. This includes local weather patterns and things that impact your location. New Jersey homeowners insurance is a good starting point, but it won't provide the necessary flood protection.

A New Jersey independent insurance agent will review your policies for free so that you're completely covered. They'll identify your exposures and find affordable coverage. Connect with a local expert to get started in minutes.

What Is Flood Insurance?

Floods occur no matter where you live, and New Jersey is no exception. Protection against flooding doesn't automatically come with your underlying property policies. Take a look at how insurance can help:

• Flood insurance: This type of property insurance covers a structure for losses due to a flood. This is caused by snow melting, storm surges, heavy rainfall, storm drainage system failures, and even levee dam system failures.

What Does Flood Insurance Cover in New Jersey?

The majority of property owners believe they have coverage for a flood automatically under their home or commercial policies. However, this is not accurate, and flood insurance is actually a separate policy entirely. Check out what your New Jersey flood insurance will cover:

• Electrical and plumbing systems
• Furnaces and water heaters
• Appliances 
• Flooring
• Detached garages
• Personal belongings

Most expensive flood disasters in the US, by National Flood Insurance Program (NFIP) payouts

Where there are natural disasters, there's usually flooding. To have the right coverage, you'll need to obtain insurance for all the what-ifs.

What Doesn't Flood Insurance Cover in New Jersey?

When you have flood insurance, it covers a specific type of loss. First, understanding what qualifies as a flood is necessary:

• What is considered a flood: A flood is an excess of water on land that is usually dry. This typically is classified as affecting two or more acres of land or two or more properties. 

Not all water damage is considered a flood and vice versa. Losses generally excluded from your flood policy are water/sewer back-ups, burst pipes, waterline malfunctions, and roof leaks.

How Much Does New Jersey Flood Insurance Cost?

The price for flood insurance varies for each property insured. Carriers look at numerous risk factors when calculating your premiums:

• The location of your property
• The flood zone of your property
• Whether the property is residential or commercial
• Your insurance score
• Your loss history
• Prior coverage history

US states with the highest number of flood insurance claims 

In New Jersey, you won't be mandated to carry flood insurance unless you're in a high-risk flood zone. You can determine which flood zone applies to your property through your trusted adviser. 

How Much Flood Insurance Do I Need in New Jersey?

FEMA has guideposts for how much coverage they offer depending on your property type. Each carrier that is FEMA-approved to sell flood insurance will have the same criteria. They are as follows:

• Flood insurance for your home: Flood carriers usually offer $250,000 for the building and $100,000 for the building contents.
• Flood insurance for your business: Flood carriers usually allow $500,000 for the building and $500,000 for the building contents.
• Flood insurance as a renter: Flood carriers typically offer $100,000 for contents-only coverage. 

How an Independent Insurance Agent Can Help in New Jersey

Every property will need flood insurance, because they are all at risk for a flood. If you're in the market to purchase a flood policy, it's best not to go it alone. There are several options, and a trusted adviser can help for free.

A New Jersey independent insurance agent has a network of carriers so that you're presented with the best rates and coverage. They'll do the shopping while you relax. Connect with a local expert on trustedchoice.com to begin in minutes.