Which type of property is specifically excluded under Flood Coverage D?

Flood Coverage D specifically excludes buildings that are situated in or over water. This exclusion is primarily due to the unique risks and considerations associated with properties located in these environments. Structures that are in or on water are generally exposed to different flood dynamics and hazards compared to traditional buildings on dry land.

Standard flood insurance policies are designed to cover damage caused by flooding, which refers to the rising of water onto land that is normally dry. However, properties that are built in or over water, such as houseboats, docks, or piers, do not fit into the typical framework of flood coverage because they may not be subject to the same conditions as land-based structures. This is why coverage is not provided for these specific types of properties under Flood Coverage D.

Understanding these exclusions is key for property owners and insurance adjusters alike, as it delineates the types of properties that can be insured under standard flood insurance policies and helps guide underwriting and claims processes.