Do I Have To Have Flood Insurance?

Are you feeling overwhelmed by the thought of adding yet another insurance policy to your already long list? We get it, insurance can be confusing and expensive. But when it comes to flood insurance, the answer may not be as simple as a yes or no.

In this blog post, we’ll explore whether or not having flood insurance is necessary for you and your property. Don’t let uncertainty weigh you down – read on to find out if flood insurance is right for you!

Do I Have To Have Flood Insurance?

If you have a mortgage on your home, your lender will require you to have flood insurance if your home is located in a Special Flood Hazard Area (SFHA). Even if you don’t have a mortgage, it’s a good idea to have flood insurance. Flooding is the most common natural disaster in the United States, and anyone can be financially vulnerable to floods – whether you live in a high-risk area or not. Just one inch of water can cause significant damage to your property.

If you’re not required to have flood insurance by your mortgage lender, you may still want to purchase a policy. Flooding can happen anywhere – even outside of high-risk areas. In fact, 20% of all flood claims come from properties that are not in SFHAs. And, standard homeowners insurance policies do not cover flooding. So, if your home is flooded and you don’t have a separate flood insurance policy, you will be responsible for paying for all repairs and replacement out of pocket.

How much does flood insurance cost?

According to the Federal Emergency Management Agency (FEMA), the average flood insurance policy costs about $700 per year. However, this number can vary greatly depending on the value of your home, your location, and the amount of coverage you need. For example, if you live in a high-risk area, you may have to pay much more for coverage.

What does flood insurance cover?

There are two types of flood insurance: building property insurance and contents insurance. Building property insurance covers the physical structure of your home or business, including the foundation. Contents insurance covers your personal belongings inside the home or business, like furniture, clothing, and electronics.

Most standard homeowner’s policies do not cover flood damage. If you live in a high-risk area and your mortgage lender requires it, you may be required to purchase flood insurance. Even if you don’t live in a high-risk area or aren’t required to carry flood insurance by your mortgage lender, it’s still a good idea to purchase coverage.

Flooding can happen anywhere at any time—you don’t have to live near water to be at risk. In fact, floods are the most common natural disaster in the United States. And just because you didn’t experience flooding during the last major storm doesn’t mean you’re in the clear—flooding can occur even if there’s no heavy rain or severe weather forecasted.

Not sure if you live in a high-risk area? Check out the FEMA Flood Map Service Center to find out.

Alternatives to flood insurance

There are a few alternatives to flood insurance that you can consider if you feel like it’s too expensive or you don’t think you need it. One option is to get what’s called excess flood insurance. This type of policy covers damages above and beyond what your regular homeowners insurance policy would cover in the event of a flood.

Another alternative is to create an emergency fund that you can use in case of any disaster, including a flood. Finally, you can also look into government assistance programs that may be available in your area in the event of a natural disaster.


In conclusion, it is strongly recommended that you purchase flood insurance if you live in an area at risk of flooding. Floods can cause damage to your home and belongings that would be difficult or impossible to replace without financial assistance from a flood insurance policy.

It is important to research the different types of policies available in order to determine which one best fits your needs and budget. With the right coverage, you can protect yourself financially against the devastating effects of flooding.