1. Home
2. Blogs

Kerala Floods Unpredictable: Be cautious this time with the help of right home insurance policy

• 
• 
• 
• 0
• 0

Published on April 19, 2021. EST READ TIME: 3 minutes

In India, those who live near the coast are always at risk of cyclones, those who live in hilly areas are afraid of land slides, and the country’s massive rivers can flood cities. A good monsoon season can wreak havoc, as we saw in Kerala in both 2018 and 2019. Hundreds of people were killed, and many lost their homes. We cannot stop floods, but we can always be prepared. Buying home insurance is the first step in the right direction. So, if you live in a state like Kerala, where floods are a constant threat during the monsoon season, be cautious. Let’s talk about how you can stay financially secure with the right home insurance policy.

Floods and Home Insurance

The concept of home insurance is gradually gaining traction as people realise the value of protecting their homes financially. Especially, if you live in a state where floods are frequent and can destroy your home and its contents in a matter of minutes. If you choose Flood Insurance (which is a subset of home insurance), you will be compensated for flood-related damage repairs. 

As a result of this clause, the insured party will be protected in the event of floods caused by a variety of factors such as overflowing rivers, water logging caused by incessant rain during the monsoon season, or even seawater entering city space due to tidal conditions. 

Inclusions of flood cover

The coverage is determined by the policy wording and may vary from one policy to the next. However, the following inclusions and exclusions are generally included in flood insurance: 

• Any partial or complete damage done to the structure of your house

• Water leakage ruining the flooring

• Water seepage weakening the structural strength

• Any damage caused due to a short circuit induced by water leakage

• Damage to contents like furniture, appliances, or expensive personal belongings like jewellery and paintings

Exclusions of flood cover:

• If the damage can’t be attributed to floods, you will not get a claim

• Any items that are usually outside the house like vehicles, fences, swimming pools, etc. are not covered 

• If the personal belongings damaged due to floodwater are out of warranty period or if any insured items have been replaced or repaired without intimating the insurance company, your claim request will not be entertained

• If the surveyor notices any foul play or evidence of negligence or any undisclosed information, your claim will get rejected

• If you don’t inform the insurer about the damage in the specified time

• The policy does not cover the cost of debris removal

As a policyholder, you must carefully read your policy terms and conditions to understand the inclusions and exclusions in order to avoid filing a faulty claim request. 

Premium

As you seek bigger coverage, the premium rises. The more add-ons you will add to the list, the more you will have to pay as a premium. The premium is also determined by the location of your home and the market value of the structure. Costlier the property, bigger will be the premium. Similarly, if you live in an area that is more prone to flooding, your premium will be higher. Other factors considered by the insurer include the structural strength of your house and a history of previous claims. 

Claim Process

The claim process is quite straightforward. You can notify the insurer about the damages by mail or phone, and you must do so as soon as possible. They will then delegate authority to an expert to access the damage. Your insurance money will be credited after verification. If possible, gather evidence in the form of photos and videos to prove the extent of the damage. Also, keep all invoices safe so that you can produce details of expenditure.

Conclusion

India has many rivers and tributaries and many cities are situated on riverbanks. Similarly, being a peninsular country, it is surrounded on three sides by large water bodies. So, not just Kerala, several states like Assam, Bihar, Odisha, and West Bengal have witnessed heavy flooding due to cyclones and monsoon. As a resident in a flood-prone state like Kerala, you should protect your homes and savings with a home insurance policy that includes flood insurance.

Disclaimer: The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales.

---

• 
• 
• 
•