Facts and Fiction About The National Flood Insurance Program
Release Date: March 11, 2009
Release Number: FNF-09-007
Floods are the most common natural disaster, causing billions in property damage each year. Unfortunately, many discover too late that homeowners insurance does not cover most flood damage. The Federal National Flood Insurance Program (NFIP) is the best, and often the only, way to recover costs from flood damage.
Fiction: Only people living in high-flood-risk areas need to insure their property.
- Fact: All areas are susceptible to flooding. Nearly 25 percent of NFIP claims come from outside high-flood-risk areas.
Fiction: I live in a high-flood-risk area so I can't buy flood insurance.
- Fact: If your community participates in the National Flood Insurance Program (NFIP), you can buy National Flood Insurance no matter where you live.
Fiction: It’s already flooding; it’s too late to buy flood insurance.
- Fact: You can buy National Flood Insurance anytime - but the policy is not effective until a 30-day waiting period after the first premium payment. However, there are some exceptions to this rule for residents in areas where a flood map was revised within the past 13 months.
Fiction: My property was flooded in the past so now I can’t buy flood insurance.
- Fact: You're still eligible to purchase flood insurance after your home, apartment, or business has been flooded - provided your community is in the National Insurance Flood Program.
Fiction: If my home is flooded, federal disaster assistance will pay for my damages
- Fact: No. To help cover flood damage, federal disaster assistance often comes in the form of a low interest loan. Even then, those loans may only be available to those living in a presidentially-declared disaster area.
Instantly learn your individual flood risk and where you can purchase National Flood Insurance near your home or business with the One-Step Flood Risk Profile at www.floodsmart.gov.
FEMA leads and supports the nation in a risk-based, comprehensive emergency management system of preparedness, protection, response, recovery, and mitigation, to reduce the loss of life and property and protect the nation from all hazards including natural disasters, acts of terrorism, and other man-made disasters.
Last Modified: Friday, 13-Mar-2009 17:29:14