I was talking to my friend regarding properties and home owners insurance in the Sacramento area. He mentioned properties in the Natomas (north) area have on an average $1000 more per year in home owners compared to other areas for the same sqft due to the flood zone. Is that true?
#1
Posted 30 October 2015 - 10:02 PM
#2
Posted 30 October 2015 - 10:16 PM
MyFolsom member Brett Weshner is a great insurance agent and should know the answer.
Rates had shot up about 10 years ago because of the flood risk. I think a lot of things have changed, though.
Here's some info from the city of Sacramento: http://www.cityofsac...tomas-Remapping
Steve Heard
Folsom Real Estate Specialist
EXP Realty
BRE#01368503
Owner - MyFolsom.com
916 718 9577
#3
Posted 02 November 2015 - 08:33 PM
BSK, if I may, i'll share some perspective on your question/statements.
Homeowners in the Natomas area do not pay more in Homeowners insurance than generally any other area. Homeowner's insurance is rated based on the home's attributes (foundation type, roof type, presence of inside fire sprinklers, age of home and quality of materials and workmanship and other variables).
Flood insurance is a product (policy) that's sold separately from Homeowners insurance. Depending on the home's location, it may or may not be in a floodplain. A Flood Determination can quickly and easily be run to see a home's rating. Either a home is or is not in a floodplain.
Homes that are in a Floodplain (flood zone as determined by FEMA maps) would be required to have flood insurance if there's a mortgage on that home. This is because the mortgage holder (bank) wants to protect its interest in the property (risk of flood).
Flood policies for homes that are in a mapped flood zone can pay $800+ for flood insurance alone (full coverage). This premium is in addition to regular homeowners insurance. There are a few coverage options which determine policy cost. The home's attributes also play an important part in flood policy premium.
Overall, if you're seeking to purchase a home either in or out of a flood zone, it is wise to work with an insurance professional who can help and explain policies, coverages and help set a strategy to manage your risks. Of note, homes that are out of flood zones can and do flood. In any heavy downpour which exceeds the sewer/stream capacity a flood can occur. And there is a specific definition of a Flood when determining if a flood actually took place in/during an event.
If you'd like to reach me personally, here's my contact info. Let me know how I may be of help.
My agency is a FloodSmart approved agency. https://www.floodsmart.gov
Brett R. Weshner
Weshner Insurance & Financial Services
5145 Golden Foothill Pkwy, Ste 100
El Dorado Hills, CA 95762
Of. 916.939.0480 Fx. 888.821.8564 Lic# 0F27180
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