Question

[Maggie] called her insurance agent after estimating the damages. She had already spent $2,000 on pumping out the water and repairing the hot water heater, which had corroded in places.

The agent was polite. He had been getting hundreds of similar calls. . . .

“Ma’am, I’m sorry, but according to our records, you do not have flood insurance protections in your policy.”

What will most likely happen to Maggie? Check all that apply.

She may have to pay thousands of dollars to repair and replace her possessions.
She will convince the insurance company that she has flood coverage.
Her insurance company will eventually pay the damages.
She may have to pay to live somewhere else while repairs are being made.
She may have to go into debt.

Answer 1

Checked:
- She may have to pay thousands of dollars to repair and replace her possessions. — Without flood coverage she’s responsible for flood-related damage beyond what she’s already paid.
- She may have to pay to live somewhere else while repairs are being made. — Temporary housing or relocation costs would likely be out‑of‑pocket if not covered.
- She may have to go into debt. — Large uninsured repair and replacement bills can force people to use savings, credit cards, or loans.

Not checked:
- She will convince the insurance company that she has flood coverage. — Unlikely if the policy does not include flood protection.
- Her insurance company will eventually pay the damages. — Insurers don’t pay for flood damage when the policy excludes flood coverage.