Good morning. Thank you for tuning into Red Lion Realty’s YouTube channel. Today we are with Ron Swanson with Swanson Farmers Insurance Agency. And today we’re going to talk about why have flood insurance. Ron, would you like to elaborate upon that?

I would. Thanks for having me today it’s great to be here and just want to talk a little bit about the importance of having flood insurance and, you know, and this could just apply to insurance in general but having flood insurance is very important. It’s one thing to believe that you have insurance and that you have that insurance to protect your asset but if you really understand that insurance is designed to transfer risk, you’re actually transferring the risk of your home flooding to someone else. And once you begin to understand the transfer of risk, then you have a greater appreciation for insurance, especially flood insurance.

What are some of the misconceptions about flood insurance Ron?

I think one of the biggest misconceptions is individuals or households believe that they are not in the insurance the or excuse me, they’re not in the floodplain, that they’re invincible and not vulnerable to flooding here in Houston. I can tell you that over the last 15 years, we have experienced a 20% increase in heavy pours, downpours across the United States, which is impacting flooding at a significant rate. Okay and so having flood insurance and being in a floodplain is something that you really need to be able to get your arms around. As an example, individuals who say they’re in the 100 year floodplain and not susceptible to flooding is a huge misconception. If you’re in a 100 year floodplain, what that really means is, is that you have a 1% chance, every year, of flooding for 100 years. That’s what it is. In actuality with with the floodplain this mapping is telling you.

Speaking of misconceptions, a lot of people don’t really understand the FEMA maps and Zone X. Could you go into that in just a little bit?

I can. A lot of the city is Zone X and individuals who believe that believe that they’re in Zone X are not in a floodplain. Here’s the reality. All of Houston is mapped for flooding. If you’re in Zone X, you’re in one of the safer zones, but you are zoned, and you are still susceptible to flooding. We have a client that is in Zone X, that has flooded three times in the last two years, twice this year. Our client flooded on Mother’s Day and then our client flooded again, just two days ago while their construction wasn’t even finished from the first flood. And that was Zone X.

So, who needs flood insurance in the Houston area?

Everybody needs flood insurance in the Houston area. It’s not something that you should even consider as, as a luxury item it’s really a necessity. And if you really understand that, okay, why do I have this flood insurance? Yes you’re protecting that very asset that you have, your home, your homestead, the family that that you’re providing a residence for but what you’re in effect doing is transferring that risk for a small amount of money each year, you’re transferring a great risk onto an insurance company and they’re gonna make you whole again should you flood.

Well if you guys have any further questions on flood insurance, please feel free to reach out to Ron Swanson with Farmers Insurance Agency, you can reach him via email, or you can call them at…

Yeah, the number is 281-529-5003 and we’re right here on the Beltway, Sam Houston toll road near Interstate 10. We’re between Westview and Hammerly, very convenient for individuals to get to us.

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