Which of the following is true about homeowners insurance?

Homeowners insurance typically provides coverage for a variety of risks associated with owning a home, including damage to the structure and personal property. However, one crucial limitation is that it generally excludes coverage for flood damage. Flood insurance is often required to be purchased separately through the National Flood Insurance Program (NFIP) or private insurers, as standard homeowners policies are not designed to cover losses sustained from flooding.

This limitation highlights the importance for homeowners, especially those in flood-prone areas, to understand their insurance policy and consider additional coverage options for specific risks not covered under a standard homeowners insurance policy. Thus, recognizing that homeowners insurance generally does not cover flood damage is essential for ensuring adequate protection for property owners.