CNN
Tropical Storm Hilary slammed into the Western US this weekend, becoming the first tropical storm to cross California is a quarter century and Nevada’s first tropical storm. Multiple areas of Southern California broke rain records, with Downtown Los Angeles experiencing the rainiest summer day on record. Roads across the state are inundated with water, mud and debris.
But while the roughly 39 million residents of the Golden State are accustomed to wildfires and earthquakes, when it comes to flood insurance there were only about 194,000 active policies in the state as of July 31, according to data from the Federal Emergency Management Service.
The city of Palm Springs — with a population of about 45,000 — saw nearly a full-year’s worth of rain in just 24 hours. Meanwhile, there are only 167 active flood insurance policies in Palm Springs, according to FEMA.
Life-threatening flash flooding in areas that don’t normally flood — as well as predictions more frequent extreme weather events — are deadly reminders of the importance of flood insurance.
But while the policies can be vital in protecting many households’ largest assets, flood insurance is still poorly understood and often passed over. Here’s what you need to know about it.
What is flood insurance?
Flood insurance is a type of policy that protects renters, homeowners, and business owners from damage caused by flooding.
These policies are not usually included in homeowners insurance, but they can cover harm to the integrity of the building itself and loss of belongings inside. Flood insurance for renters only covers the contents of their home.
