In this article: Does homeowners insurance cover flood damage? No, a standard policy does not cover floods. However, several options are available to protect you in the event of a flood.


​If you’re a homeowner, you know your home is your most important asset. It’s where you and your family live, and it’s likely the biggest investment you’ve ever made. That’s why it’s so important to protect your home with insurance. But what happens when a flood damages your home? Does homeowners insurance cover flood damage?

The short answer is: it depends. Homeowners insurance policies usually don’t cover damage from floods, but they may cover other types of water damage. And, if you have flood insurance, it will cover damage from flooding.

Floods are among the most common and costly natural disasters in the United States. Floods cause an average of $5 billion in damage each year. And, while floods can happen anywhere, they’re most common in areas that are prone to severe weather, like hurricanes and thunderstorms.

If you live in an area that’s susceptible to floods, it’s important to know whether or not your homeowners insurance policy covers flood damage. Otherwise, you could be left with a huge bill to repair or replace your home and belongings.

Home Insurance and Floods

Standard home insurance typically doesn’t cover flood damage, so it’s consider adding a flood insurance policy to your arsenal. 

Without this extra layer of protection, you could find yourself swimming in a sea of financial woes if a flood decides to crash your party. The costs of repairing or replacing damaged property can be overwhelming. Flood insurance steps in to help you stay afloat by covering damages to your home’s structure, electrical and plumbing systems, appliances, and even some personal belongings.

What Is Flood Insurance?

Flood insurance is a type of insurance that helps protect your home and belongings from damage caused by flooding. Flooding can happen unexpectedly, and since your homeowner’s insurance policy might not cover flood damage, it’s important to understand your risks and get the right insurance.

What does flood insurance cover?

Flood insurance covers the cost of repairing or rebuilding your home and personal property if it is damaged or destroyed by a covered flood. This can include structural damage to your home, such as foundation damage or water damage to your walls, as well as damage to your personal belongings, such as furniture, clothing, and electronics.

What is not covered under flood insurance?

Flood insurance does not cover the cost of repairing or rebuilding flood-damaged cars, and it does not cover the contents of your home, such as food, clothing, and valuables. Flood insurance also does not cover business interruption or loss of revenue.

How much does flood insurance cost?

The average annual premium for flood insurance is $739, but this can vary depending on your location, the amount of coverage you need, and the deductible you choose. If you are required to purchase flood insurance, your lender will determine the amount of coverage you need.

Do you need flood insurance?

If you’re like most people, you probably don’t think about flood insurance very often. After all, why would you need insurance for something that rarely happens? However, floods can and do happen. That’s why it’s important to understand flood insurance and whether or not you need it.

Flood insurance is not required by law, but it is required by most mortgage lenders if you live in an area considered high risk for flooding. Even if you don’t have a mortgage, though, flood insurance can be a good idea. Flooding can happen anywhere, and, again, is not often covered by standard homeowners insurance policies.

So, how do you know if you need flood insurance? If you live in a high-risk area for flooding, your mortgage lender will probably require you to have it. Even if you don’t live in a high-risk area, though, it’s a good idea to check with your insurance agent to see if your policy covers flood damage.​

How to buy flood insurance

There are two main types of flood insurance: flood zone insurance and all-risk insurance. Flood zone insurance covers damage that occurs in specific flood zones that have been designated by the government. All-risk insurance covers any type of flood damage, regardless of where it occurs.

When shopping for flood insurance, it’s important to compare rates and coverage options from different insurers. Be sure to read the fine print carefully to understand what is and isn’t covered.

If you’re ever in the unfortunate situation of having to file a claim, be sure to do so as soon as possible. Flood damage can often be extensive, so the sooner you start the claims process, the better.

The question of whether homeowners insurance covers flood damage is answered with a not often…but… Standard home insurance policies typically exclude coverage for damages caused by floods, emphasizing the need for homeowners to explore additional options like flood insurance. With floods ranking among the most common and financially burdensome natural disasters, the importance of securing adequate protection cannot be overstated.