What flood insurance costs and covers
Standard homeowners policies do not cover flood damage. Flood insurance is sold through the National Flood Insurance Program and private insurers. The price depends on flood risk at the address, the building, and the coverage chosen.
The formula
Premium = building coverage cost + contents coverage cost + fees
Coverage limits
NFIP policies cover up to $250,000 for a home’s structure and up to $100,000 for contents.
How to use this estimator
Enter how much building coverage and contents coverage you want, then a rate per $1,000 of coverage. The estimator returns the flood insurance cost per year and per month for that mix, along with the total coverage. It is a planning figure. An insurance agent can give you a quote for your address.
Worked example
The figures below are made up to show how the parts add together. They are not a quote.
| Part of the premium | Example yearly cost |
|---|---|
| Building coverage | $900 |
| Contents coverage | $250 |
| Fees | $150 |
| Total | $1,300 |
A yearly premium of $1,300 works out to about $108 a month.
What the result means
The estimate has two coverage parts that you choose separately. Building coverage pays for damage to the structure. Contents coverage pays for your belongings. If you buy only building coverage, a flood that ruins your furniture and appliances leaves you paying for those yourself.
Compare the coverage with what you would actually lose. If your home would cost $350,000 to rebuild, the $250,000 NFIP building limit leaves a $100,000 gap. Ask an insurance agent whether extra coverage is available to fill it.
What changes the result
- Flood risk at the address. Higher risk means a higher premium.
- The building. Its features and how it is built affect the price.
- Building coverage amount. More coverage costs more, up to the limit.
- Contents coverage amount. Adding it, or raising it, adds to the premium.
Plan around the waiting period
A new NFIP policy usually takes effect 30 days after you buy it. A policy bought on June 1 would start around July 1. That means you cannot wait for a storm forecast and then buy cover for it. If you are buying a home, raise flood insurance early so the policy is ready when you need it.
Common mistakes
- Assuming your homeowners policy pays for flood damage.
- Waiting until a storm is on the way to buy a policy.
- Insuring the building and forgetting contents.
- Skipping cover because the home is outside a high-risk zone.
- Not checking the building limit against the cost to rebuild.
Related calculators
Flood cover sits beside your main policy, not inside it. Estimate that policy with the homeowners insurance calculator, then add both premiums to your monthly budget in the cost of homeownership calculator. To see the loan payment as well, use the mortgage calculator.
Frequently asked questions
Is flood insurance required?
Yes, for homes in high-risk flood zones with a federally backed mortgage.
Is there a waiting period?
NFIP policies usually take effect 30 days after purchase.
Should I buy it outside a high-risk zone?
Floods also happen outside mapped high-risk zones.
Does flood insurance cover my belongings?
Only if you buy contents coverage. An NFIP policy covers up to $100,000 of contents for a home.
What if my home would cost more than $250,000 to rebuild?
The NFIP building limit for a home is $250,000, so anything above that is not covered by the NFIP policy. Ask an insurance agent about additional coverage.
When should I buy flood insurance?
Before you need it. A new NFIP policy usually has a 30-day wait before it takes effect.
Does homeowners insurance cover any flood damage?
No. A standard homeowners policy does not cover flood damage, which is why flood insurance is a separate policy.