Considering Coverage

Doesn't my homeowners insurance policy cover flooding?
No. Flood damage is not covered by your homeowners insurance policy.

If my home is flooded, won't federal disaster assistance pay for my damages?
No. Federal disaster assistance offers loans to help cover flood damage, not compensation for your losses. Even then, those loans are only available if the President formally declares a disaster … and less than 10 percent of all weather emergencies in the United States are declared.

Am I eligible for flood insurance?
You must live in a community that participates in the National Flood Insurance Program (NFIP) to qualify for National Flood Insurance. Find out if your community participates in the NFIP and the kinds of NFIP resources available in your community.

Can I get flood insurance if I'm renting a property?
If you live in a community that participates in the NFIP, you can get flood insurance to cover the contents of your home or business.

I live in a low-risk flood zone. Do I really need flood insurance?
It's a good idea to buy flood insurance even if you live in a low- or moderate-risk area. Almost 25 percent of all flood insurance claims come from areas with minimal flood risk. You may qualify for the Preferred Risk Policy (a lower-cost flood insurance policy) that provides contents coverage for as little as $39 per year and building plus contents coverage for just over $121 a year.

Why do I need flood insurance, even though my community has never been flooded?
The fact that a flood hasn't occurred within recorded history doesn't mean one hasn't happened in the past or that one won't happen soon.

Structures located in high-risk flood areas have a significant chance (26 percent) of suffering flood damage during the term of a 30-year mortgage while only a 9 percent chance of loss from fires. A home mapped in a high-risk area is three times more likely to suffer damage from a flood than a fire in the lifetime of a typical mortgage!

For these reasons, flood insurance is required as a condition of receiving Federal or federally-backed financial assistance.

Why does my mortgage lender require me to buy flood insurance?
The purchase of flood insurance is mandatory for all Federal or federally-backed financial assistance for the acquisition and/or construction of buildings in high-risk flood areas (Special Flood Hazard Areas or SFHAs).

Flood insurance must be maintained during the term of the loan and is required for the lesser of the maximum amount of available NFIP coverage or the outstanding principal balance of the loan (less the land value).

If the property is not in a high-risk area, but instead in a low- to moderate-risk area, the law does not require flood insurance; however, it is recommended since historically about one-in-four flood claims come from these low- to moderate-risk areas. Note that if during the life of the loan the maps are revised and the property is now in the high-risk area, your lender will notify you that you must purchase flood insurance. If you do not purchase flood insurance, the lender will force place it, which could be at a much higher rate.

Is there a low-cost policy for homes in low-to moderate-risk areas?
Yes. The Preferred Risk Policy is available in low- to moderate-risk areas for as little as $121 per year.

I'm not in a high-risk area, but I'd like complete flood coverage. Is this possible?
Yes! You are eligible to purchase a flood policy with the same coverage you would receive if you lived in a high-risk area. That is of course, as long as your community participates in the NFIP. And, you may qualify for the Preferred Risk Policy (a low-cost flood insurance policy) that provides contents coverage for as little as $39 per year and building and contents coverage for as little as $121 per year.

After my home was damaged in a flood, I received federal disaster assistance. Do I need to purchase flood insurance now?
Yes. If you live in a high-risk area and have received disaster assistance from the Small Business Administration (SBA) after a flood, you are required to purchase and maintain flood insurance coverage until the loan on your property is paid off.

If you don't get flood insurance and another flood damages your property, you will be denied federal disaster assistance. If you sell the property, you are required to notify the buyer of the need to purchase and maintain flood insurance.

Who do I contact if I want to purchase a flood insurance policy?
The National Flood Insurance Program has an arrangement with private insurance companies to sell and service flood insurance policies. A list of private insurance companies that sell and service NFIP flood insurance policies is available to you.

You may also contact your insurance agent or company to find out more about Federal flood insurance or find an agent serving your area.

What if I want to purchase more insurance than the NFIP offers?
Many private insurance companies offer Excess Flood Protection, which provides higher limits of coverage than the NFIP, in the event of catastrophic loss by flooding. For more information, contact your insurance agent or company or find an agent serving your area on FloodSmart.gov.

Frequently Asked Questions

Risk Profile

Why would I need flood insurance if I live on a hill?
Floods can occur in any area, although to varying degrees. If you live on a hill or in an area that has never been flooded, your risk may be significantly reduced, but it is not eliminated.

Flooding can be caused by heavy rains, melting snow, inadequate drainage systems, failed protective devices such as levees and dams, as well as by tropical storms and hurricanes. Please make an informed decision about the flood risks you face before deciding not to purchase flood insurance. Talk to your agent for additional details – you may qualify for a Preferred Risk Policy (a lower-cost flood insurance policy).

Why does the tool say I'm in a high-risk area when the ground my home is built on is very high?
Flood Insurance Rate Maps (FIRMs) cannot reflect every variation in the physical geography of an area. Therefore, a FIRM occasionally will show a property as being in a Special Flood Hazard Area (SFHA), even though the building may be above the Base Flood Elevation (BFE).

However, there is a mechanism for resolving such a situation. A property owner can submit property and elevation materials in support of a request for a Letter of Map Amendment (LOMA) to remove the property from the SFHA. This process involves the property owner and Federal Emergency Management Agency (FEMA).

For detailed information regarding the LOMA process, call toll-free 1.877.336.2627.

My community has never been flooded. Why do I show up in a low to moderate risk area?
Everyone lives in a flood zone. The fact that a flood hasn't occurred within recorded history does not mean one hasn't happened in the past or that one will not happen in the future.

It's important to note that flood history is only one element used in determining flood risk. More critical determinations are made by evaluating your community's rainfall and river flow data, topography, wind velocity, tidal surge, flood control measures, building development (existing and planned), and community maps.

Why is my address not showing up in your database?
Our data comes from maps that are available in a digital format. Most communities are mapped; however yours may not be digitally available at this time. FEMA is currently facilitating a national effort to update and digitize all maps. In the meantime, if you would like to learn more about flood hazard mapping, visit: http://www.fema.gov/fhm/mm_main.shtm.

Do insurance companies or agents use this tool to determine premium rates?
No. This tool was created to help you understand your relative risk level, which is only one element used to determine your premium rates.

Along with flood zone information, agents will review location, the age and design of the building or house, occupancy, and the amount of coverage requested. Additionally, for buildings located in Special Flood Hazard Areas, agents must consider the elevation of the building in relation to the base flood elevation.

Where can I find more information about the maps that were used to determine my relative risk level?
FEMA publishes maps indicating a community's flood hazard areas and the degree of risk in those areas. Flood insurance maps usually are on file in a local repository in the community, such as the planning and zoning or engineering offices in the town hall or the county building.

In addition, you can order maps online or by writing, phoning, or faxing a request to the FEMA Map Service Center. There is a minimal charge for maps for most users.

Frequently Asked Questions

Risk Levels

How is flood risk determined?
FEMA conducts a Flood Insurance Study (FIS) of a region to identify the community's risk levels. The FIS includes statistical data for river flow, storm tides, rainfall, topographic surveys, as well as hydrologic and hydraulic analyses. After examining the FIS data, FEMA creates a map delineating the different areas of flood risk.

How can I find out my property's flood risk level?
Enter your property's location in the FloodSmart.gov risk assessment tool.

My home is in a floodplain. Am I at high risk for flooding?
Yes. Buildings in floodplains, or Special Flood Hazard Areas (SFHAs), are at high risk for flood damage. Some floodplains experience frequent flooding, while others are affected only when there is a severe storm.

As a homeowner in a floodplain, it's not so much a question of if a flood will damage your property as when. That's why the law requires you to have flood insurance. Did you know that an SFHA home has a 26% chance of being flooded over a 30-year period, as compared to a 9% chance of suffering a fire? That means that you're three times more likely to be damaged by a flood than a fire!

I live in a floodplain, but the ground my home is built on is very high. Aren't I safe from flooding?
Not necessarily. Even if your home is on high ground, it can still be damaged in an extreme flood event.

What is a Letter of Map Revision (LOMR) and how does it affect my flood risk level?
A LOMR is an official amendment to the currently-effective FEMA map. Issued by FEMA, the LOMR changes flood zones, delineations, and elevations. The FEMA map revision may mean that your property is no longer shown in a special flood hazard area (SFHA). However, if you receive a LOMR, your risk of flooding has not been eliminated, only reduced.

The good news is that you would likely be eligible to pay much less for your flood insurance coverage. Contact your insurance agent for additional information.

What is a Letter of Map Amendment (LOMA)?
A LOMA is an amendment to the currently effective FEMA map which establishes that a property is not located in a Special Flood Hazard Area. You can submit property and elevation materials supporting a request for a Letter of Map Amendment (LOMA) to remove your property from the SFHA. This process involves the property owner and Federal Emergency Management Agency (FEMA).

For detailed information regarding the LOMA process, call toll-free 1.877.336.2627.A LOMA is issued only by FEMA.

As I read about reducing flood risk, I keep hearing the term "flood mitigation." What does this mean?
Flood mitigation refers to the measures a community takes to correct and prevent flood risks. These efforts generally include zoning, subdivision, rules for building in floodplains, and special-purpose floodplain ordinances. A homeowner can minimize flood damage by preparing his or her home and contents for a flood. For ideas, see Before the Flood.

Do flood mitigation efforts affect the cost of insurance premiums?
Yes, they can. Communities may voluntarily participate in the Community Rating System (CRS), where the mitigation efforts that go above and beyond the basic requirements of the NFIP are evaluated and given a number. The higher a community's CRS rating, the lower the risk of flooding and the lower the premium rates for individuals in the community.

What is the role of a community in its flood hazard assessment?
Each community that chooses to participate in the NFIP works closely with the Federal Emergency Management Agency (FEMA). Together, they collect the information needed to create an accurate Flood Insurance Rate Map (FIRM) and Flood Insurance Study (FIS) of the region. The FIRM and FIS will later be used to determine flood insurance rates for homeowners.

Frequently Asked Questions

Flood Zones

What are flood zones?
Flood zones are land areas identified by the Federal Emergency Management Agency (FEMA). Each flood zone describes that land area in terms of its risk of flooding. Everyone lives in a flood zones - it's just a question of whether you live in a low, moderate or high risk area.

How do I find out whether or not my property is at risk, and if it is, at what level?
Visit "What's Your Flood Risk?" and enter your address into the risk assessment tool to find out your flood risk.

What is a Flood Insurance Rate Map (FIRM) and how do I use it?
A FIRM is a map created by the NFIP for floodplain management and insurance purposes. Digital versions of these maps are called DFIRMs.

A FIRM will generally show a community's base flood elevations, flood zones, and floodplain boundaries. As a property owner/renter, you can use this map to get a reliable indication of what flood zone you're in. However, maps are constantly being updated due to changes in geography, construction and mitigation activities, and meteorological events. Therefore, for a truly accurate determination, contact your insurance agent or company or your community floodplain manager.

What is a Special Flood Hazard Area (SFHA)?
Land areas that are at high risk for flooding are called Special Flood Hazard Areas (SFHAs), or floodplains. These areas are indicated on Flood Insurance Rate Maps (FIRMs).

A home located within an SFHA has a 26 percent chance of suffering flood damage during the term of a 30-year mortgage.

What is a Non-Special Flood Hazard Area (NSFHA)?
A Non-Special Flood Hazard Area (NSFHA) is an area that is in a low- to moderate-risk flood zone (Zones B, C, X Pre- and Post-FIRM). An NSFHA is not in any immediate danger from flooding caused by overflowing rivers or hard rains.

However, it's important to note that structures within an NSFHA are still at risk. In fact, one out of four floods occurs in a NSFHA! Check out the statistics and get the facts before you decide that your property is not at risk.

Is there a special risk-rating procedure for coastal high hazard areas (V zones)?
Yes. When calculating the risk of a V zone property, the formula takes into account the ability of the building to withstand the impact of wave action.

What is the Coastal Barrier Resources System (CBRS)?
The CBRS is a system of protected coastal areas that includes ocean-front land, the Great Lakes and Other Protected Areas (OPAs).

Coastal barriers serve as important buffers between coastal storms and inland areas, often protecting properties on land from serious flood damage. Also, coastal barriers provide a protective habitat for aquatic plants and animals.

The Coastal Barrier Resources Act (CBRA) of 1982 restricted development on the CBRS, in an effort to protect the barrier system and prevent future flood damage. If you live in a CBRS area, you are eligible for federally-backed flood insurance only if your property was built before 1982 and your community participates in the NFIP. Read more about CBRS at FEMA.gov/NFIP

Frequently Asked Questions

Types of Flood Insurance

How much flood insurance coverage is available?
Flood coverage limits for a standard flood policy are:

Coverage Type Coverage Limit
One- to Four-family structure $250,000
One- to Four-family home contents $100,000
Other residential structures $250,000
Other residential contents $100,000
Business structure $500,000
Business contents $500,000
Renter contents $100,000

What is the Preferred Risk Policy (PRP)?
The Preferred Risk Policy offers multiple coverage combinations for both buildings and contents (or contents-only, for renters) that are located in low- to moderate-risk areas (B, C and X Zones). Preferred Risk Policies are available for residential or non-residential buildings also located in these zones that meet eligibility requirements based on the building's entire flood loss history.

What is covered in my basement?
Flood insurance covers your home's foundation elements and equipment that's necessary to support the structure (for example: furnace, water heaters, circuit breakers, etc.).

It's important to note that some items in your basement are covered under building coverage (like a furnace, hot water heater and circuit breaker), and others are covered under contents coverage that must be purchased in addition to building coverage (for example, your washer and dryer, or your freezer and the food in it).

The NFIP encourages people to purchase both building and contents coverage for the most complete protection. Flood insurance does not cover basement improvements, such as finished walls, floors, ceilings or personal belongings that may be kept in a basement. For a complete list of what's covered, view the Standard Flood Insurance Policy (SFIP) Forms.

Are losses from land subsidence, sewer backup or water seepage covered?
Losses from land subsidence (a gradual or sudden sinking of land) are covered if the damage is a direct result of flooding. You're covered if your property is near a lake or similar body of water, and waves or currents from the lake cause your property's land to sink.

Damage caused by sewer or drain backup, or overflows from a sump pump or related equipment are covered if the event is a direct result of flooding.

Seepage or leaks in your home are not covered.

Does the NFIP cover flood damage caused by hurricanes, rivers or tidal waters?
Yes, providing that at least two adjacent properties in the area (or two acres) are flooded.

Is flood damage from wind-driven rain covered?
No. When rain enters through a wind-damaged window or door, or comes through a hole in a wall or roof, the NFIP considers the resulting puddles and damage to be windstorm-related, not flood-related.

Flood insurance covers devastation caused by storm surge, wave wash, tidal waves or the overflow of any body of water over normally dry land areas. Although flood insurance specifically excludes wind and hail damage, the good news is that most homeowners insurance provide such coverage.

What is Increased Cost of Compliance (ICC) coverage?
If a flood damages your property, you may be required by law to bring your home up to community and/or state safety standards. If you have NFIP insurance, and your home has been declared substantially damaged by your community, ICC coverage is provided to cover up to $30,000 of the cost to elevate, flood proof, demolish or relocate your property. ICC coverage is in addition to the coverage you receive to repair flood damages; however, the total payout on a policy may not exceed $250,000 for residential buildings and $500,000 for non-residential buildings.

Frequently Asked Questions

Policy Costs & Terms

How can I get flood insurance?
If you live in a community that participates in the National Flood Insurance Program (NFIP), you are eligible to purchase flood insurance. Over 20,000 communities participate, and it's likely that yours is one of them. See a list of participating NFIP communities and learn more about NFIP in your community.

To buy a flood insurance policy, call your insurance agent or company, or find an agent serving your area.

What will my flood insurance premium cost?
It is essential that you visit with your insurance agent to determine exact costs. However, if you'd like to receive a general idea of how much your premium will cost, you can estimate your premium today. And to get a specific estimate for your property, contact your insurance agent or company, or find an agent serving your area.

How is my flood insurance premium calculated?
A number of factors are considered when determining your flood insurance premium. These factors include: the amount and type of coverage being purchased, location and flood zone, and the design and age of your structure. For homes in high-risk areas (e.g., Special Flood Hazard Areas or AE, VE Zones) built after the first Flood Insurance Rate Maps were drawn for that community, the elevation of the building in relation to the base flood elevation is also required. For more information, visit Estimate Your Premium or download Flood Insurance Basics [PDF 40K] Text version [6K], to learn more.

Can I get a discount on my flood insurance premium?
It's possible that you qualify for a discount based on your community's participation and status in the Community Rating System program. For more information, visit CRS Ratings & You.

How can I pay for my flood insurance?
You can pay your insurance premium with a credit card (Visa, MasterCard or American Express) or with cash, check or money order. Your premium may be paid through an escrow account established by your mortgage lender, at your lender's discretion.

If your lender requires you to buy flood insurance and escrows for other types of insurance or taxes, they are required to also escrow flood insurance premium payments. Your payment for coverage is due to your agent with your application. For details, ask your insurance agent or lender.

Will there be a waiting period for my policy to take effect?
Most likely. There is generally a 30-day waiting period from the time an insurance policy is purchased to when it actually goes into effect. Read about exceptions to this waiting period.

What is the policy term for flood insurance?
One year.

Does a deductible apply to my coverage?
Building and contents policies have separate deductibles for each. This means that if your building and contents are both damaged due to a flood event, both deductibles are applied.

For more information about deductibles, contact your insurance agent or company, or find an agent serving your area.

How many structures (and their contents) may be insured on each policy?
Only one building and its contents can be insured on each policy.

Is there a 'grace period' after a policy has expired?
All policies expire at 12:01 a.m. on the last day of the effective term, but you remain covered for 30 days after the expiration of the policy. Claims for losses that occur in this grace period will be honored, provided that the full renewal premium is paid by the end of the 30-day period.

Will damage-preventing measures I've taken in my home be reimbursed by my flood insurance policy?
Some will be. When your insured home is in eminent danger of being flooded, you may receive up to a $1,000 reimbursement for your damage-preventing expenses. Things like renting storage space to protect your belongings, buying sandbags and lumber to make a barricade, and renting pumps are all things that qualify for reimbursement. No deductible is applied to this coverage.