Floods can happen anywhere—even in areas with low-to-moderate flood risk.

Flooding and cyclone events (e.g., hurricanes) are the most common and costly disasters in the United States, causing billions of dollars in damage each year. With an NFIP flood insurance policy, you can recover faster and more fully after a disaster. Coverage is crucial because:

  • Ninety-nine percent of U.S. counties have experienced a flood since 1998, and over 40% of flood insurance claims come from outside high-risk flood areas.
  • Just one inch of water can cause roughly $25,000 of damage to your property.
  • Most homeowners and renters insurance policies do not cover flood damage—only flood insurance can financially protect your building and contents from a flood event.
  • Unexpected flood events—such as ponding or sewer backup—can happen in communities far from waterways due to new land use or community development.

You may buy an NFIP flood insurance policy for your property if you live in a participating community. Check your community’s status in the Community Status Book.

BIG-Brock Insurance Group, LLC

How Needs Flood Insurance? EVERYONE

What You Need to Know About Disaster Assistance

In the event of a presidential disaster declaration, you may be able to receive federal disaster assistance. Most of this aid comes from low-interest disaster loans from the U.S. Small Business Administration (SBA) that must be repaid with interest or as grants from FEMA.

Having your own flood insurance policy may provide significantly more funds for recovery than federal disaster assistance. Between 2016 and 2022, the average FEMA disaster assistance grant award was $3,000. In the same period, the NFIP paid an average claim amount of more than $66,000. In some cases, policyholders may be eligible to couple their flood insurance claims with federal disaster assistance.

It’s important to know that not all flood events receive a presidentially declared disaster designation. However, an NFIP policy may provide financial benefits after any flooding event.

Questions to Ask Your Insurance Agent

Use the following questions as guides when discussing flood insurance with your agent:

  • What is my property’s flood risk?
  • Is flood insurance mandatory for my property?
  • Will my mortgage lender require flood insurance?
  • What flood damage will and won’t be covered by my homeowners insurance policy?
  • What is the difference between a private flood insurance policy and an NFIP flood insurance policy?
  • Does my community participate in the NFIP’s Community Rating System (CRS)?
  • Learn more about CRS.
  • How much coverage should I purchase for my building and contents? When will my policy become effective?
  • What is the term or length of my policy, and how do I pay for or renew it?
  • Will my policy provide coverage based on Replacement Cost Value (RCV) or Actual Cash Value (ACV)? How are the two different?

Flood insurance helps provide financial security and peace of mind, covering repairs and rebuilding costs that standard insurance policies may not include. Given the unpredictable nature of weather patterns, having flood insurance can be a smart and proactive decision for many property owners.

Contact BIG-Brock Insurance Group, LLC today for your free insurance quote: (830) 631-8110