Do you need Tsunami Insurance and Mud flow Insurance? It might sound like an appealing type of insurance coverage to have, especially after the dreadful tsunamis that ravaged hundreds of shorelines and took hundreds of thousands of lives in Asia in 2004.  Needless to say, hardly anyone who was directly affected by those tragic natural disasters had any kind of preventative insurance in place, but should you take the plunge now?

The fact of the matter is that no mud slide, tidal wave or tsunami is going to interrupt your daily life if you live in, say, Nebraska – unless a new ocean were to somehow spring out of the Great Plains!  But if you do live in coastal areas or mountain range you might want to look into some kind of insurance that would cover you in the event of a tsunami, mud slide or similar natural disaster, like a hurricane or coastal flooding. 

Sometimes, people don’t realize that their home insurance policy doesn’t cover them from floods, sudden movement of earth etc. for example; make sure that you have such insurance coverage in place if you think it is wise to have it.  Just be careful not to give up your tsunami or other coverage just because you think it is too expensive.  Is losing your entire home a loss you want to lose the ability to recover from?

Of course, companies that insure people against natural disasters tend to charge high insurance premiums because they never know when they might need to have the money in hand to reimburse people for their damages.  Just be smart in checking to see exactly what your insurance levels are versus what you want them to be, and weigh the costs of disaster coverage against the benefits of being protected in case a tsunami or other disaster ever does hit the area in which you live.