Minnesota is known to many as the Land of 10,000 Lakes. And while the Land of 10,000 lakes actually has closer to 12,000 lakes, one thing is certain—lots of water means a high potential for flooding.
When shopping for Minnesota insurance for your home and car, it's important to know the right types of coverage to get to ensure flood coverage is included. For example, many people don't know that flooding is not covered under any homeowners insurance policy. But these tips will help you get the right coverage for any event that may come your way.
Minnesota Insurance Rates for Autos
Minnesota is a tort state, which means your auto insurance coverage by law must include liability coverage, so if you cause an accident your insurance company will pay for the other party's medical bills and damage. Minimum requirements include:
- Bodily Injury: $30,000/$60,000
- Property Liability: $10,000
If you want your own vehicle covered against damage, you should consider the following:
- Comprehensive. This type of coverage covers damage to your car that doesn't result from another vehicle, such as hail, flooding, theft, or windshield chips.
- Collision. If you cause an accident, your liability coverage takes care of the other vehicles involved, but not your own. Collision insurance will cover repair costs to your car.
- Uninsured/Underinsured. This type of coverage is designed to protect you if you are hit by an uninsured driver.
Minnesota Insurance Rates for Homes
While there are a number of different policies to choose from, the average homeowner will probably opt for one of the following:
- HO-3. This is the most common single-family policy and protects your home from 16 types of perils.
- HO-5. This is premium policy covers your home from all the perils that HO-3 covers and also protects the contents of your home as well.
Now comes the tricky part: your policy will no doubt list a number of exclusions. These include flood, earthquake, war, and any other exclusions listed in your policy. So while your insurance may cover water damage from a burst pipe, it won't cover water damage from a flood.
Flood insurance is regulated by the Federal Emergency Management Agency and must be purchased separately. Flood coverage is required if you live in a flood plain, and in areas with heavy rain or bodies of water that tend to flood, it's recommended. When looking for flood coverage for your home, keep in mind:
- Only the structure is insured. Basic flood insurance only covers the structure of the home, not the contents. However, the majority of the damage from flooding occurs to the contents of the home rather than the structure and can be very costly to replace. Make sure your furnishings and personal belongings are covered.
- There is a 30-day waiting period. All flood policies have a waiting period of 3- days before it becomes active. So if your home incurs massive flood damage 2 weeks after you get your policy, it won't be covered.
Getting the Best Minnesota Insurance Rates
By the time you tack on additional coverage, your Minnesota insurance rates can get pricey. That's why it's a good idea to shop around and compare quotes. Localinsurance.com is a comprehensive site that makes finding the best rates easier than ever. Not only that, but you can find information on all kinds of Minnesota insurance, then quickly compare rates for the best prices in your area.
