Quiz: What Does Flood Insurance Cover?

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Flooding may not be a hazard you’ve thought much about, but it should be. Flood damage costs homeowners billions of dollars each year. And it’s a tricky subject: Not all water damage is treated the same by insurance.

Coverage for flood damage depends on the source of the water and the type of event that has occurred. Most areas of the country are at some risk of flooding, so to protect your home you need to understand the risks.

Will your homeowners policy cover water damage to your home? What does flood insurance cover? Find out by responding true or false to these five statements.

Water wise: Tips to help reduce damage

If your area is susceptible to sewer backup, be sure your home has a backflow valve and plugs for drains, toilets and other sewer connectors.

If you have a basement but don’t have a sump pump to help keep it dry, get one—and test it regularly to be sure it’s working. And speaking of the basement: Store items in plastic containers or on shelving at least a foot off the floor.

Outside your house, be diligent about keeping eaves, gutters and downspouts clear of leaves, sticks and other debris to prevent backups and poor drainage. And be sure water flow is directed away from the foundation.

If you’re in the process of building your home, make sure your property is correctly graded to direct water runoff away from the foundation and entrances.