WHAT IS PRIVATE FLOOD INSURANCE?
Private flood insurance is just like it sounds. It is private flood insurance through private companies.
What Coverages are Available through Private Flood Insurance?
- Building coverage
This coverage covers the actual structure and anything generally attached to it like an air conditioner
This coverage covers things like clothing, furniture, and jewelry. Anything inside the structure that personally belongs to you
- Loss of coverage can provide temporary living while your property is being repaired.
Are All Rates with Private Flood Insurance the Same?
Unlike the National Flood Insurance Program, flood insurance rates with private flood insurance companies can vary greatly. Each company looks at each risk differently.
What Payments Plans are Available with Private Flood Insurance?
In general, most private flood insurance companies require flood insurance policies to be paid in full.
However, a few companies now offer quarterly billing
OK, but really, what can you expect to pay for flood insurance with private flood insurance?
Private flood insurance pricing can range a lot based on the risk and coverage selected.
It's important to know each risk has its unique rating, so each flood insurance policy is going to be different.
Three things that can have the biggest impact on ratings are the replacement cost of the building, distance to water, and elevation of the building.
What does flood insurance cost with private flood insurance?
Depending on factors like replacement cost, elevation, distance to water, type of flooding, and flooding frequency, you can generally expect a flood insurance policy to fall somewhere around the national average of $1250.
Does this mean you could pay more?
Does this mean you could pay less?
Yes each property has its own unique pricing
The flood risk of a property can also have a big impact on pricing. You can find the flood score of your property here
How can I save money on flood insurance with private flood insurance?
There are many ways to save money on flood insurance with private flood insurance
- Coverage amounts
- Deductibles
- Mitigate structure
- Elevation certificate
- Get more than one private flood insurance option
How do claims impact my flood insurance rates with private flood insurance?
Whether you choose to get flood insurance through the national flood insurance program or a private flood insurance company flood insurance claims could have a major impact on flood insurance rates.
Many private flood insurance companies will not cover a property that has had a flood claim. Others do a 5-year look back on flood claims.
Can flood insurance with private flood insurance companies be built into my mortgage?
Yes, private flood insurance can be built in with your mortgage. However, some private flood insurance companies do require you to pay the first year up front. You will want to ask if this is a requirement before purchasing flood insurance
Will being in a required flood zone increase the price with private flood insurance?
In recent years flood zones have played less of a role in determining the flood insurance rates with private flood insurance companies. However, some companies do still use it in their rating models. You want to make sure to provide the correct flood zone when purchasing flood insurance. Not sure what flood zone you are in? You can find out by finding my flood zone
Will paying in full lower my flood insurance pricing with private flood insurance?
If you decide to pay flood insurance in full or in installments it generally should not impact the actual flood insurance premium. However, you will usually pay more in fees which could make the overall flood insurance costs much higher.