New private flood insurance offers consumers more choice
News: 2018 Press Release
"Flood insurance may be the only product that stands between you and a crippling financial loss," said Insurance Commissioner Dave Jones. "California communities have been ravaged by historic floods. I urge consumers to consider flood insurance to protect their most valuable assets."
American National's flood insurance program is a new entry into the private flood insurance market in California and does not replace the National Flood Insurance Program, which currently provides the majority of flood coverage written in the state.
This new residential private flood insurance program offers consumers a number of coverage features, including residential building property, personal property or contents, debris removal, and additional living expenses (ALE) or lost rents. The policy term is 12 months.
"Providing consumers with more choices may lead more residents to consider flood coverage," added Jones. "Many areas of California are subject to flooding from severe storms or heavy rains. I encourage more insurers to consider entering this market."
Last October the department approved a private flood insurance product by Homeowners Choice Property and Casualty Insurance Company. Homeowners Choice also covers residential building property, personal property or contents, debris removal, and ALE. The company is offering limited policies to homeowners and renters whose properties have had no flood claims in the last six years.
Commissioner Jones encourages consumers to prepare for potential disaster by using their smart phone to record a home inventory, catalog their belongings and store them in their cloud account. Residents should also consider scanning deeds, insurance policies and other important documents and store them in their cloud for easy access.
The department has a number of resources to help consumers with insurance coverage or claim questions. Consumers with questions or needing assistance should call the consumer hotline at 800-927-4357.
- The National Flood Insurance Program
- California Department of Insurance Flood fact sheet
Led by Insurance Commissioner Ricardo Lara, the California Department of Insurance is the consumer protection agency for the nation's largest insurance marketplace and safeguards all of the state’s consumers by fairly regulating the insurance industry. Under the Commissioner’s direction, the Department uses its authority to protect Californians from insurance rates that are excessive, inadequate, or unfairly discriminatory, oversee insurer solvency to pay claims, set standards for agents and broker licensing, perform market conduct reviews of insurance companies, resolve consumer complaints, and investigate and prosecute insurance fraud. Consumers are urged to call 1-800-927-4357 with any questions or contact us at www.insurance.ca.gov via webform or online chat. Non-media inquiries should be directed to the Consumer Hotline at 800-927-4357. Teletypewriter (TTY), please dial 800-482-4833.