Anywhere it rains, it can flood
Flooding is the most common and most costly natural disaster in the United States. Homeowners insurance does not cover it. A separate flood policy is the only way to protect your home and belongings from flood damage.
Does homeowners insurance cover flooding?
No. Flood damage is excluded from standard homeowners policies in almost all cases. If your home is in a Special Flood Hazard Area and carries a government-backed mortgage, flood insurance is required. Even outside high-risk zones, it is worth considering. Nearly one-third of all flood insurance claims come from outside high-risk flood areas. One inch of water can cause up to $25,000 in damage.
Where can I get flood insurance?
There are two options: the National Flood Insurance Program (NFIP) and private flood insurance.
The NFIP is administered by FEMA and available through most insurance agents. It covers up to $250,000 for your home's structure and up to $100,000 for personal property. For many homeowners that is sufficient, but if your home's replacement cost exceeds those limits, the NFIP alone may leave you underinsured. There is typically a 30-day waiting period before an NFIP policy goes into effect, so do not wait until a storm is approaching.
Private flood insurance has grown significantly in recent years and now covers roughly 27% of the residential market. Private policies often offer higher coverage limits, broader protections, and, in some cases, faster claims service. They can also take effect immediately, with no waiting period. Ask your agent to compare both options for your property.
What does flood insurance cover?
A standard flood policy covers two things: your home's structure and your personal contents. They are separate coverages with separate deductibles, and both must be in place to be fully protected. Flood insurance does not cover temporary living expenses, landscaping, vehicles, or property outside the insured building.
What if I am not in a high-risk flood zone?
Flood risk exists everywhere it rains. If your property is outside a Special Flood Hazard Area, flood insurance is typically much more affordable and worth the annual cost, given the potential exposure. Contact an agent for a quote specific to your address.
Can my community lower my flood insurance costs?
Yes. The Community Rating System (CRS) is a FEMA program that rewards communities that go beyond minimum floodplain management standards. Homeowners in participating communities can receive discounts of 5% to 45% on their NFIP premiums. Contact your local floodplain manager or elected official to find out if your community participates or is working toward participation.
Resources
FloodSmart.gov is the official site of the National Flood Insurance Program. Use it to check your flood risk, learn what is covered, and find an agent.
ASFPM (floods.org) is the Association of State Floodplain Managers, the leading voice for floodplain management policy and science. Use it to find your local or state floodplain manager.
FEMA's Flood Map Service Center lets you look up your property's flood zone by address.
Have questions about flood insurance or flood mitigation in your area? Contact us.