New Bern NC Flood Insurance

Brought to you by Realtor Steve Tyson

Low lying areas in New Bern and Eastern N.C. can be prone to flooding. The Tyson Group are your water front experts in New Bern and the surrounding areas.

Scroll down to learn about the federal flood insurance program.

Federal Flood Insurance in New Bern, N.C. is required if you live in a flood plain and have a federally backed mortgage.

Click Here to view NC Flood Maps

The National Flood Insurance Program, (NFIP), is administered by the Federal emergency Management Agency, (FEMA). This program makes federally backed flood insurance available in communities that adopt and enforce floodplain management ordinances to reduce future losses. Currently more than 4 million flood insurance policies are in effect.

According to the National Flood Insurance Program the definition of a flood is when a land mass that is normally dry is partially or completely under water. Flooding can be caused by one of the following:

1.Overflow of inland or tidal waters.

2.Rapid accumulation of surface water such as rainfall.

According to FEMA, 1/3 of NFIP claims come from outside of the designated high risk flood areas. There are 10 million properties in high risk, special flood hazard areas, yet no more than 1/4 of these properties are covered by flood insurance.

The NFIP contracts with insurance companies to sell flood insurance. The insurance company receives a small portion of the premium. When a flood claim occurs the insurance company will an adjustor to adjust the claim.

All NFIP policies have the same language and will cost the same regardless of who sells the policy. There are three kinds of NFIP policies. There are

1.Commercial policies

2.Condominium policies

3.Single family policies

Four types of coverage are offered with flood policies,

1.Building coverage

2.Personal property coverage

3.Debris removal coverage

4.Increased cost of compliance, code up grades

Building coverage covers a list of 23 specific property items, including awnings, canopies, and ventilating equipment and of coarse the structure itself.

Personal Property Coverage applies to personal property within a fully enclosed insured building. Unless you have a separate policy, business related property would not be covered. A limit of insurance is imposed on artwork rare books, jewelry, and furs. You should consider separate coverage for these items.

Debris Removal covers the expense to remove the debris caused by the flood occurrence.

Increased Cost of Compliance will reimburse the insured for compliance with a state or local floodplain management law or an ordinance affecting repair or reconstruction of a structure suffering flood damage.

Special Coverage

Your flood policy provide temporary coverage for property that has been moved to another location due to the threat of flooding. Coverage is limited and is only covered for 45 days. There is also limited coverage for loss mitigation for such things as sandbags, pumps, and fill dirt.

Property not Covered

There are 11 types of property that are not insured under the flood policy. Many of these exclusions are standard to general property coverage's and include accounts, valuable papers, currency, motor vehicles, bill, livestock, birds, and boats.

How Flood Damages Are Valued

Flood damage is valued on either on either replacement cost, RCV, or actual cash value, ACV. Replacement cost is the cost to replace that part of a building that is damaged without depreciation being deducted. To qualify for a replacement policy the building must be a single family dwelling, must be your principle residence, and must be insured for at least 80% of the full replacement cost of the building.

Actual cash Value is replacement cost value less the physical depreciation. Some building items such as carpeting are always adjusted on an ACV basis. Personal property is always valued at ACV.

The Bottom Line

If you live in an area prone to flooding it is important to consider purchasing flood insurance even if you are not required to. Contact your insurance agent to find out the important details of flood insurance.

Craven County and New Bern Flood News

Craven County receives flood warnings from the National Weather Service via the Emergency Broadcast System and the NC Division of Emergency Management. That information is processed by the county and passed on to the public via local radio, television, and the emergency broadcast system. Craven County has adopted an emergency Operations Plan to address the multiple hazards that threaten the county.

Flood Safety

• Turn off all electrical panels, shut off gas and water lines.

• Do not attempt to walk or drive through flowing waters

• Evacuate as soon as advised to do so.

Floodplain Development Permits

Development in a designated flood hazard area requires the issuance of a local flood development permit. These permits must be obtained before construction begins. Development is defined as any change to any improved or unimproved real estate including but not limited to buildings, mining, dredging, paving, or filing. Contact the Craven County Building Inspector's office at 252 533 4987 before the start of any construction.

Substantial Improvements

The NFIP requires that if the cost of reconstruction, rehabilitation, addition, or other improvements to a structure equals 50% of the structures market value, then the structure must meet the same construction standards as a new structure. This would require you to elevate the structure to raise the structure to above the current base flood elevation.

Note: Portions of the information contained on this page were copied from Adjusting today magazine.

Real Estate Broker

Steve Tyson

252 514 9157 Cell.