Why do you need Flood Insurance?
Protect Yourself with Flood Insurance
Just a few inches of water from a flood can cause tens of thousands of dollars in damage. Over the past 10 years, the average flood claim has amounted to nearly $42,000, according to the National Flood Insurance Program (NFIP).
Flood insurance is the best way to protect yourself from this devastating financial loss.
Understanding the Requirements
Congress mandated federally regulated or insured lenders to require flood insurance on properties that are located in areas of high risk flooding.
Below, you'll find the insurance requirements for your flood risk area. If you're not sure which area your property is in, please give your insurance agent a call. If you don’t have an agent, please call 1.800.423.4403 and we can assist you with finding an agent in your area.
High-Risk Areas (Special Flood Hazard Area or SFHA)
Homes and buildings in high-risk flood areas with mortgages from federally regulated or insured lenders are required to have flood insurance. In high-risk areas, there is at least a 1 in 4 chance of flooding during a 30-year mortgage. High-risk areas are shown on the flood maps as zones labeled with the letters A or V.
Moderate-to-Low Risk Areas (Non-Special Flood Hazard Area or NSFHA)
Homes and businesses located in moderate-to-low risk areas that have mortgages from federally regulated or insured lenders are typically not required to have flood insurance. These areas are shown on flood maps as zones labeled with the letters B, C or X (or a shaded X).
Even though flood insurance isn't federally required, anyone can be financially vulnerable to floods. In fact, people outside of mapped high-risk flood areas file over 20-percent of all National Flood Insurance Program flood insurance claims and receive one-third of Federal Disaster Assistance for flooding.