It will all depend on the insurance cover.
Yes, they may get their home repaired with upmarket fittings (not often a new house unless it has shifted on its foundations or is unrepairable), but don't overlook the emotional impact of seeing your home devastated and all your hard work literally down the drain (or river as the case may be).
My in-laws were flooded out in Brisbane in 1974, and even though they recovered quite well financially, the impact on their lives was dramatic. They eventually sold and moved away as every time it rained my MIL would sit and watch the section of the park opposite where the flood waters first appeared. After 15 years of this they could not stand it any longer and left.
Marg
