What flood insurance actually covers

Flood insurance protects your property from damage caused by rising water. That can include heavy rain, storm surge, hurricanes, overflowing rivers, snowmelt and drainage issues.

Typical flood policy coverage

• Building coverage — foundation, walls, roof, electrical, HVAC, plumbing
• Contents coverage — appliances, furniture, valuables (with limits)
• Debris removal
• Flood damage from storm surge during hurricanes

What flood insurance does NOT cover

• Landscaping, decks, fences
• Temporary housing (NFIP doesn’t cover ALE — private insurers sometimes do)
• Mold damage not caused directly by floodwater
• Cars (covered under auto comprehensive)

NFIP vs Private Flood Insurance

NFIP (FEMA)

• Building: up to $250,000
• Contents: up to $100,000
• No ALE (additional living expenses)
• Mandatory for homes in high-risk zones with a mortgage

Private flood insurance

• Higher limits (up to $1M+)
• May include ALE, pools, basements
• Faster underwriting
• Sometimes cheaper than NFIP

Do you actually need flood insurance?

More than 25% of flood claims come from outside FEMA’s high-risk flood zones. Rain-based inland flooding is becoming more common across the U.S.

You’re in a high-risk zone if:

• Your zone is labeled **A**, **AE**, **AH**, **AO**, or **VE**
• Your mortgage lender requires flood coverage

You should still consider it if:

• You live near lakes, rivers or drainage basins
• Your city has poor drainage during storms
• Your area gets heavy seasonal rainfall
• Your state is hurricane-exposed (FL, TX, LA, NC, SC)

How to get lower rates

1. Install flood vents
2. Elevate HVAC & electrical systems
3. Use water sensors & smart shutoff valves
4. Provide elevation certificates

FAQ

Does homeowners insurance cover floods?

No — flood insurance must be purchased separately.

How long is the waiting period?

NFIP: 30 days · Private: sometimes 0–15 days.

Can renters buy flood insurance?

Yes — contents-only policies are available.