Flood insurance on paid off house??????? (agent, loan, lender, lender)

[Hollytree]

A hypothetical:

If a house has no mortgage but is in a flood zone, will getting a homeowner's policy also require flood insurance or is it possible to just carry regular homeowner's?

[Jkgourmet]

A better question: WHY WOULD YOU?

It's sort of like you've paid off your car in less than a year (or paid cash). Are you going to drive around without insurance?

[greyhorsewoman]

Not an insurance agent, but I own some cabins (no mortgage) in a flood zone and flood insurance was optional. Since the cabins sit on the upper end of the property and never got flooded in the worst of the floods, though the lower property does (which doesn't concern me), I opted out.

[Hollytree]

I'm asking whether it is possible. I'd like to hear from someone who knows the answer to my question.

It is not my house. It sits in an AE zone.

Greyhorsewomen- your anwser just came in simultaneously- so it is possible to carry just regular homeowner's alone??

[BoBromhal]

To my knowledge, only those properties involving a mortgage company require you to have flood insurance.

Normal HOI doesn't even cover flood issues anyway.

[ocngypz]

If there is no mortgage, it is not mandatory.

However, if the house is in an AE zone I'd make darn sure my lowest living floor is sufficiently raised above the base elevation level.. and all my appliances and HVAC equipment as well.

$250K doesn't buy much these days when it comes to repairs and replacements.

Now, should they flood from a storm.. would they self insure and take care of all the repairs themselves without help from the Feds?

[nobodysbusiness]

Read the flood policy to see what is covered (not much) - analyze how many year flood zone you are in, talk to neighbors, etc.

If you don't have a mortgage, I believe flood insurance is optional, but whether you might want it or not will depend on the above analysis.

[dblackga]

Flood insurance is optional if you don't have a mortgage. Lenders force homeowners to purchase flood insurance in order to insure the lender's (and the homeowners) interest in the property -- they don't want a house they have given a mortgage on to go floating down the river.

Flood insurance is different from homeowners insurance -- they aren't packaged together. You can buy HO insurance without buying flood insurance.

[LifeIsGood01]

Originally Posted by Hollytree

A hypothetical:

If a house has no mortgage but is in a flood zone, will getting a homeowner's policy also require flood insurance or is it possible to just carry regular homeowner's?

I would imagine that insurance companies would love to take your money and not have to pay out if your home is flooded.

[Scooby Snacks]

Originally Posted by Hollytree

A hypothetical:

If a house has no mortgage but is in a flood zone, will getting a homeowner's policy also require flood insurance or is it possible to just carry regular homeowner's?

You are not required to carry insurance of any kind if your home has no loan on it. At least not here in Texas you don't. If you have a mortgage and live in a flood zone, a lender will not finance you unless you carry a flood policy as well. Here in the Houston area, flood policies are very inexpensive compared to the total cost of the homeowner's policies (at least they were before Harvey; that will probably change when people's renewal dates come up).