What Does Federal Flood Insurance Cover?

With hurricane season upon us and localized flooding associated with Hurricane Irma still fresh in our minds, it’s important that South Florida residents understand what exactly does Federal Flood Insurance cover.

Even though the future of the program remains uncertain because of the tug of politics, the federal government continues to encourage property owners to obtain flood insurance. In fact, it’s a pretty good idea especially given our geography here in South Florida and since standard homeowner insurance policies do not cover flood damage. According to the Florida Office of Insurance Regulation, only a handful of private companies offer flood insurance that doesn’t piggyback on federal policies.

In 1968, the federal government established the National Flood Insurance Program (NFIP) to fill the gap in flood coverage. The program provides flood insurance and also works to improve flood management and is now managed by the Federal Emergency Management Agency (FEMA) under Homeland Security. As you’re probably aware, FEMA is the agency that coordinates the federal government’s response to natural disasters and other national emergencies.

So now that we know who manages the national flood insurance program, the question still remains what exactly does a federal flood insurance policy cover? But before we dig into what is actually covered in your home, it’s important to note what’s not covered and that includes personal property in a basement or crawl space. Your coverage is also capped at $250K per building and $100K for contents.

With that mind, what’s essentially covered in your home under your NFIP policy is the following:

  • Appliances such as washers, dryers, dishwashers, stoves and refrigerators
  • Essential home systems such as electrical, HVAC and plumbing
  • Personal property like furniture, electronics, clothing and certain valuables such as artwork
  • Carpeting, window treatments, bookcases and cabinets that are permanently installed
  • Foundational walls and structure

You have to remember that around here in South Florida, a typical flooding event can arise following a hurricane, storm, sinkhole, but federal flood insurance also covers a water main break. In any case, it’s important to have an experienced attorney on your side to help you determine if a flooding event in your home is covered under your existing policy and to assist in any claims disputes that may arise.

If you have sustained damage and losses in your home or business because of a flood, or are currently involved in a any property insurance claim that is being denied, underpaid or delayed, contact our Miami property insurance claim attorneys at the Acle Law Firm today at 305-447-4667 for a free consultation.