Flood Risks & Flood Insurance Basics


The National Flood Insurance Program (NFIP), administered by the Federal Emergency Management Agency (FEMA), enables residents in participating communities to purchase federally backed flood insurance. Currently, more that 21,800 communities participate in the NFIP nationwide.

Most homeowners insurance doesn’t cover flooding. Your insurance agent can tell you more about the benefits of flood insurance. In the meantime, here are a few things you should know:

  • In most cases, you can purchase flood insurance coverage from the insurance agent who sells your homeowner’s policy.
  • More than 20% of flood insurance claims come from outside high-flood risk areas – consider purchasing flood insurance even if you are not required to do so by your lender.
  • If your home is in a low– to moderate –flood risk area, you could be eligible for a low-cost Preferred Risk Policy.
  • If your home is in a high-risk area, be aware that long-standing subsidies and discounts are being eliminated.
  • Get an Elevation Certificate from the seller so your insurance agent can tell you how much a policy might cost you.

 Download questions to ask your insurance agent: Protect Your New Home

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