What is Flood Insurance and What Does it Cover?
Do I need a separate insurance policy for protection against flood damage or is that covered by my homeowner’s insurance?
A standard homeowners insurance policy will not cover flood. Flood insurance is a separate policy that is largely available through the federal government’s National Flood Insurance Program (NFIP). An NFIP flood insurance policy covers direct physical damage by flood to your building and/or personal property, also known as contents. The Standard Flood Insurance Policy (SFIP) is a single-peril (flood) policy that pays only for flood damage to your insured property, up to the policy limit. The maximum policy limit available for building coverage under NFIP flood insurance is $250,000 for residential buildings and $500,000 for nonresidential buildings. The maximum policy limit available for contents coverage under NFIP insurance coverage is $100,000 for residential policies and up to $500,000 for non-residential policies.