So, I called my insurance agent to see if State Farm would cover the cost of replacing my driveway.
They will not.
And they wouldn’t, even if I had flood insurance.
I asked her if I should get flood insurance and she explained it to me. As she was explaining it to me, I asked her, “So, what you’re saying is that you’ve spent the last three days telling people who thought they were insured how screwed they are?” and she, in a tired voice, said, “yes.”
Basically, flood insurance either pays for just your house or it pays for your house and the depreciated value of what’s in it. So, like, if a tornado hits my house and destroys my couch, my insurance will pay the cost of getting me a new couch comparable to my current couch, in this case, a crappy $600 couch that ended up not being crappy, but delightfully awesome. They would give me $600 for a couch.
If I had flood insurance and I lost my couch in a flood, I’d only get the depreciated value of my couch, which, considering that it’s an ancient $600 couch, would probably be $0.
So, unless you have a house full of stuff that appreciates in value–like, I don’t know, Civil War cannons (and, really, who wants to sit on a cannon and watch TV?)–you can have flood insurance and still end up losing everything in your house and not having a way to replace it.
That’s going to be terrible news for a lot of folks.
Anyway, so, yes, the driveway. It’s fucked. We’re broke. I’m stressed.
But at least it’s just the driveway.
“and, really, who wants to sit on a cannon and watch TV?”
I bet Hank, Jr. would…
Flood insurance is/was subsidized by the government. Some people were using it as a ‘get out of jail free’ card and building expensive houses over and over on the same spot. So they started making changes to the program so it wouldn’t be abused any more.
The real pity is that flood insurance is only required for people in the 100 year floodplain and people rarely get it if they aren’t required and aren’t very close to the creek. We got something on the order of a 1000 year storm over the weekend so a lot of people that didn’t think they needed flood insurance got flooded. I’m not sure how disaster relief funds are applied in a situation like that.