Hurricanes and Oil: Will Your Insurance Policies Protect You From Oil Damage?, WJGH Channel 7 NBC Destin, July 9, 2010:
"People need to make sure they have flood insurance and not just regular homeowner's insurance if they want coverage,” said Trey Hutt of Hutt Insurance Agency. ...
Even among flood policy holders, there is still a gray area when it comes to potential oil damage. Each claim is handled on a case by case basis.
“You have to differentiate. If water washes up into the yard and deposits some oil there, again that's not going to be damage to the home; so even that, probably would not be covered and you're going to be out there with a rake cleaning up tar balls. If it intrudes in the house, I see no reason whatsoever why it wouldn't be covered by a typical flood insurance policy,” Hutt said.
But you better get on it quick.
Insurance companies have a 30-day wait period for every new flood policy, unless it is required by a bank.