Feds make Bella Vistans eligible for flood insurance
Posted on Wednesday, July 16, 2008
URL: http://www.nwanews.com/bvwv/News/6717/
Federal flood insurance is now available in the city of Bella Vista.
Effective June 12, Bella Vista is a new participant in the National Flood Insurance Program, according to a press release from the city offices. More than 20, 000 communities participate in the program nationwide.
The NFIP is managed through the Federal Emergency Management Agency. The program is available only to communities that adopt and enforce ordinances related to flood losses.
City officials will coordinate with Bella Vista’s Architectural Control Committee to issue building permits required by the program for all new developments in high-risk areas, according to Mayor Frank Anderson.
“ We’ll be getting (the coordination ) done in the next few weeks or months, ” Anderson said.
Anderson was first made aware of the need to participate in the National Flood Insurance Program after receiving a phone call from a concerned resident not long after the city incorporated in November 2006.
Everyone lives in some type of flood zone, according to Floodsmart, the official Web site of the NFIP. Based on studies of flood risk, the geographic areas, or zones, are determined by FEMA. There are low- to moderate-risk zones and high-risk zones.
Flood insurance is sold separately from homeowners ’ insurance. According to Floodsmart, flood insurance protects against losses from any flood cause, with the stipulation that the waters must cover at least two acres or affect two properties. The insurance covers buildings and their contents, purchased separately, but not the land surrounding buildings.
There are limits on the amount of coverage. A maximum of $ 250, 000 per singlefamily dwelling can be purchased, along with up to $ 100, 000 to protect the contents.
Renters can protect their belongings by purchasing contents coverage. For commercial properties, the building and contents coverage limits are both $ 500, 000, according to the press release.
However, there is a standard 30-day waiting period before coverage begins.
Flood insurance is backed by the federal government and costs the same wherever purchased, according to the NFIP. The rates are set by the program and sold and serviced by private insurance providers, of which there are several in northwest Arkansas. Insurance rates vary depending on the zone where the structure is located.
Zone boundaries are shown on flood-hazard maps, which are also called flood insurance rate maps. These maps, published by the NFIP, determine whether one lives in a lowto moderate-risk zone or high-risk zone.
Low- to moderate-risk zones have a 1 percent annual chance of a major flood occurring. In this zone, flood insurance is available to all property owners and renters but is not required. The cost to insure a low to moderate zoned structure starts at $ 119 per year, according to the NFIP.
A high-risk area is known as a special flood hazard area, which has an annual risk of greater than 1 percent for flooding or a 26 percent risk of flooding over the life of a 30-year mortgage. In a high-risk area, borrowers are required to get flood insurance in order to get a loan from a federally regulated lender, according to the NFIP.
Floods are the most common hazard in the United States. The NFIP recommends everyone get flood insurance.
There are several highrisk zones in Bella Vista, Anderson said, “ mainly along Sugar Creek. ”
“ It’s not a super significant number, ” he added.
To access information on whether a home or business is in a high- or low-risk flood zone, go to the NFIP Web site at www. floodsmart. gov. Visitors can enter their home address, and the Web site will provide information on flood zone status.
Local insurance companies are also listed on the Web site. A link to Floodsmart is available on the FEMA Web site, www. fema. gov.