As our neighbors in East Oahu and parts of Kauai rebuild their homes and lives in the aftermath of the recent rainstorms and flash flooding, this can serve as a wake-up call and learning lesson to review and evaluate homeowners and flood insurance policies to determine whether you are adequately covered for the next time something like this happens.
More than 500 homes were damaged in the rainstorms last month. Some flood victims reported that their losses weren’t covered by insurance, and repairs to their home and replacing their furniture, appliances and belongings are coming out of their pockets.
Carol Tyau-Beam, National Flood Insurance Program state coordinator, told KITV, “We’ve got calls already that folks thought their homeowners covered it. In most cases it doesn’t cover for floods.”
On Oahu the Red Cross certified about 200 homes, mostly in Niu Valley, as damaged. Both the inside and outside areas of homes in East Oahu were deemed high-risk flood zones.
“Everyone lives in a flood zone,” said Mark Mitsuyoshi, an agent with Pyramid Insurance in Honolulu. “It’s just a matter whether your area is considered low/moderate- risk or high-risk.”
Homeowners who carry mortgages and live in high-risk areas (flood zones A and V) are required by lenders to carry flood insurance (which is separate from homeowners insurance). The Flood Disaster Protection Act of 1973 made the purchase of flood insurance mandatory.
Homeowners outside special flood hazard areas are not mandated to carry flood insurance, but may add it as additional coverage.
According to the Federal Emergency Management Agency, more than 20 percent of flood claims come from properties outside high-risk flood zones.
Also, a homeowner is five times more likely to experience a flood in their home than a fire over the next 30 years, according to FEMA.
Water and mud can be destructive and can lead to other problems such as mold, requiring costly mitigation efforts.
“Just a few inches of water can cause thousands of dollars of (damage),” Mitsuyoshi said.
In Hawaii we live next to canals, streams and low-lying areas and are surrounded by the ocean. And don’t tell the tourists, but it does rain here.
So it might be a good idea to at least consider flood insurance, even if you’re not in a high-risk zone. To find out what zone you are in, check the FEMA flood map online or check with your insurance agent.
I live near the edge of a high-risk zone. My Hawaii Kai home is in a flood zone D (undetermined risk), so I am not required to get flood insurance. However, my neighbors on the next street over (just a couple hundred feet away) are in flood zone AE, which is a high-risk zone.
FEMA’s Flood Insurance Rate Map (FIRM) changes over the years. So even if you’re in a low-to-moderate-risk zone (such as X) or undetermined-risk (D zones) now, your neighborhood or street might be remapped later into a high-risk zone, such as A or V.
Flood insurance premiums can vary greatly depending on several factors, including the flood zone, year of construction, elevation, how much coverage needed and whether your home is your primary residence.
Take this time to find out what coverage you have or don’t have. Read your policy and call your insurance professional with questions.
Flood insurance is not cheap, but it could save you big time the next time it pours.
FEMA flood map: msc.fema.gov/portal/
For more information: www.floodsmart.gov
Jaymes Song is a top-producing agent with Better Homes and Gardens Real Estate Advantage Realty in Kahala. He can be reached at 228-3332 or JaymesS@BetterHawaii.com.
