Should I purchase flood insurance for my home?

A few important facts:

• Standard homeowners insurance typically does not cover flood damage. Flood insurance is usually purchased separately. [fema.gov]
• Flooding can occur outside designated high-risk flood zones. FEMA reports that about one-third of NFIP flood insurance claims between 2013 and 2023 came from areas outside current high-risk flood zones. [agents.flo…dsmart.gov]
• FEMA also notes that floods can result from heavy rainfall, drainage issues, snowmelt, development, and other factors, not just proximity to rivers or coasts. [fema.gov]

Consider Buying Flood Insurance If:

• Your home is near a river, creek, lake, pond, or other body of water.
• Your property has experienced drainage or water accumulation problems.
• You have a basement or finished lower level.
• Rebuilding or repairing significant flood damage would create financial hardship.
• The annual premium is reasonable relative to the value of your home and belongings.

You May Be Less Likely to Need It If:

• Your property is on elevated ground with no history of flooding or drainage issues.
• Flood maps and local data indicate very low flood risk.
• You have sufficient savings to comfortably absorb a large uninsured loss.

A Practical Way to Decide

Think of flood insurance as protection against a low-frequency, high-cost event.

Ask yourself:

“If my home suffered $50,000 or more of flood damage tomorrow, would I be comfortable paying for it myself?”

FEMA reports the average NFIP claim payment from 2019-2023 was approximately $52,000. [agents.flo…dsmart.gov]

If the answer is “no,” obtaining a quote is usually worthwhile. Even if you ultimately decide not to purchase coverage, comparing the annual premium to the potential financial exposure will help you make a more informed decision.