How to Get Flood Insurance?

Flood insurance is designed to cover water inundation events that affect either two or more acres or properties, protecting structures and contents that would otherwise be at risk. But where does one start with obtaining flood insurance? The National Flood Insurance Program (NFIP) is a key player in the flood insurance space, providing coverage to property owners, renters, and businesses. It’s essential to understand what flood insurance covers, as it can vary depending on the specific policy and provider.

National Flood Insurance Program (NFIP)

Administered by the Federal Emergency Management Agency (FEMA), the NFIP represents the nation’s largest single-line insurance program, offering nearly $1.3 trillion in coverage. To benefit from the flood insurance it provides, communities are required to participate in the NFIP by adopting and enforcing floodplain management regulations. In addition to flood insurance, the program also offers disaster assistance for those affected by floods.

The NFIP partners with more than 50 private insurance companies to sell and service NFIP policies through insurance agents, under the Write Your Own (WYO) program.

Types of Flood Insurance Policies

NFIP’s flood insurance coverage falls into two main categories: building property coverage and personal property flood coverage. Building property coverage includes essential structural elements and appliances, with limits up to $250,000 for residential policies. Personal property coverage, on the other hand, protects belongings such as electronics, clothing, and furniture, and must be added on to building coverage, capped at $100,000 under NFIP policies.

It’s crucial to select the correct coverage limits and deductibles to ensure sufficient protection of your home structure and personal belongings, considering the potential for varying coverage amounts with private insurers.