You need flood insurance. It's your first line of defense against flooding. Homeowners insurance will not cover flood damage.
Flooding is not a covered peril under standard home insurance policies. One inch (1 inch) of water in your home can cause up to $25,000 in damages, and over 25% of flood insurance claims come from outside special hazard flood areas. These areas are where flood insurance is required if you have a mortgage.
If you want to protect your home against a flood, you need a separate flood insurance policy. Without it, you won't be able to recover fully. FEMA's standard payout after a storm or flood is between $3,000 and $8,000. That will not allow you to fully repair your home and replace your belongings.
In October 2021, the NFIP will update its risk rating method. Known as Risk Rating 2.0, the "methodology leverages industry best practices and cutting-edge technology to enable FEMA to deliver rates that are actuarily sound, equitable, easier to understand and better reflect a property’s flood risk."
Many flood insurance policyholders may see their insurance rates reduced. Others will see increases. The new Risk Rating 2.0 will be rolled out in phases.