Risk Rating 2.0 is a new tool developed by the Federal Emergency Management Agency (FEMA) for the National Flood Insurance Program (NFIP) to determine whether communities are at risk from flooding.

This tool uses a combination of data sources to identify areas where flooding is likely to occur and the same data will also be the basis for your premium rate.

One of the biggest things that this new rating system won't take into account when it comes to premium rates is flood zones. However, it is still important to be aware of new flood maps updates as this represents both where flooding can happen and where flood insurance is required.

Harney, Oregon

Oregon may not be the first place that comes to mind when you think of floods, but the state has a long and storied history with this natural disaster. From the massive flood of 1862 that destroyed much of downtown Portland to the devastating floods that have struck in recent years, Oregonians know all too well how destructive flooding can be.

If you're concerned about your home's risk of flooding, it's important to understand your area's history and what steps you can take to protect your property.

Today, we want to talk about the Good, the Bad, and the Ugly changes coming to flood maps of Harney County, Oregon this April 20th, 2022.

The Good

When it comes to the good changes in flood map updates, this generally falls into the "in to out movement". It's called this way because a property that's in a high-risk flood zone will be moved out to a low-risk flood zone like Flood Zone X.

This is a good thing for 486 property owners impacted by this movement in Harney County. This simply means that your property is being removed from the special flood hazard area (SFHA). This is somewhat unexpected because generally, we see fewer properties moving out from a high-risk zone whenever there are new flood insurance rate maps.

This also means that due to the lower risks, your mortgage company will no longer require you to carry flood insurance on your property.

Although we'd love to tell you to cancel that policy, get your refund, and save more money by removing flood insurance from your expenses, it's still a bad idea to not have flood insurance.

The Bad

Now, let's move into the bad changes which are coming in form of the aforementioned "out to in movement". This change is expected to impact only 320 properties in Harney, Oregon. Think of it as getting mapped to a Flood Zone A when you were previously in a Flood Zone X.

Although this doesn't really impact premium rates directly, it's important to note that Flood Zone A generally means that the area doesn't have a base flood elevation.

Being part of this change can still hurt your premium rates regardless of whether you're doing a National Flood Insurance Program (NFIP) policy or a private flood insurance one.

Properties in Flood Zone A, SFHA, or any high-risk zone are also required to carry flood insurance always.

The Ugly

Lastly, we have the ugly change or "in to in movement" which covers the largest impact on this flood map update for the county. At least 3,052 properties will retain their flood zone. This means that if you're in Flood Zone AE, you will stay there until the next flood map update. Think of it as moving from a Flood Zone A to a Flood Zone AE. 

If you're staying in your flood zone this means that you will also retain the same flood insurance rates since your risks stay the same. On the other hand, if you fall into being moved deeper into the SFHA, which indicates that you're facing a higher risk for flooding, you will also see your premium rates increase significantly.

Now, let's talk about your flood insurance options in Harney County. Watch the video below to know the difference between the National Flood Insurance Program (NFIP) and the Private Flood Insurance market.

Flood insurance is important now more than ever as we face higher risks for floods. You don't want to be blindsided by all that floodwater and find yourself in a lot of losses.

If you want to learn more about flood insurance in Oregon, flood mitigation, or anything related to flood insurance, click below to go to our Flood Learning Center:

You can also click below to call us:

Risk Rating 2.0 is a new tool developed by the Federal Emergency Management Agency (FEMA) for the National Flood Insurance Program (NFIP) to determine whether communities are at risk from flooding.

This tool uses a combination of data sources to identify areas where flooding is likely to occur and the same data will also be the basis for your premium rate.

One of the biggest things that this new rating system won't take into account when it comes to premium rates is flood zones. However, it is still important to be aware of new flood maps updates as this represents both where flooding can happen and where flood insurance is required.

Charles City, Virginia

Floods in Charles City Virginia are a common occurrence. The city is situated on the banks of the James River, which is prone to flooding. In recent years, the city has experienced several floods, including one in 2018 that caused significant damage to homes and businesses.

flooding can occur at any time of year but is most common during the spring and summer months when the river is swollen from melting snow and heavy rains. Flooding can also occur during hurricanes and other severe weather events.

When floods do occur, they can cause extensive damage to property and infrastructure. In some cases, people have had to be evacuated from their homes. If you live in or around Charles City, it's important to be prepared for floods.

Today, we want to talk about the Good, the Bad, and the Ugly changes coming to flood maps of Charles City County, Virginia this April 20th, 2022.

The Good

When it comes to the good changes in flood map updates, this generally falls into the "in to out movement". It's called this way because a property that's in a high-risk flood zone will be moved out to a low-risk flood zone like Flood Zone X.

This is a good thing for only 14 property owners impacted by this movement in Charles City County. This simply means that your property is being removed from the special flood hazard area (SFHA).

This also means that due to the lower risks, your mortgage company will no longer require you to carry flood insurance on your property.

Although we'd love to tell you to cancel that policy, get your refund, and save more money by removing flood insurance from your expenses, it's still a bad idea to not have flood insurance.

The Bad

Now, let's move into the bad changes which are coming in form of the aforementioned "out to in movement". This change is expected to impact only 430 properties in Charles City, Virginia. Think of it as getting mapped to a Flood Zone A when you were previously in a Flood Zone X.

Although this doesn't really impact premium rates directly, it's important to note that Flood Zone A generally means that the area doesn't have a base flood elevation.

Being part of this change can still hurt your premium rates regardless of whether you're doing a National Flood Insurance Program (NFIP) policy or a private flood insurance one.

Properties in Flood Zone A, SFHA, or any high-risk zone are also required to carry flood insurance always.

The Ugly

Lastly, we have the ugly change or "in to in movement" which covers the largest impact on this flood map update for the county. At least 648 properties will retain their flood zone. This means that if you're in Flood Zone AE, you will stay there until the next flood map update. Think of it as moving from a Flood Zone A to a Flood Zone AE. 

If you're staying in your flood zone this means that you will also retain the same flood insurance rates since your risks stay the same. On the other hand, if you fall into being moved deeper into the SFHA, which indicates that you're facing a higher risk for flooding, you will also see your premium rates increase significantly.

Now, let's talk about your flood insurance options in Charles City County. Watch the video below to know the difference between the National Flood Insurance Program (NFIP) and the Private Flood Insurance market.

Flood insurance is important now more than ever as we face higher risks for floods. You don't want to be blindsided by all that floodwater and find yourself in a lot of losses.

If you want to learn more about flood insurance in Virginia, flood mitigation, or anything related to flood insurance, click below to go to our Flood Learning Center:

You can also click below to call us:

We're officially doing Risk Rating 2.0 across the board. In case you missed it, this new program for the NFIP will no longer look at flood zones as a basis for flood policies' premium rates.

However, flood zones still have a firm grip on how flood insurance functions and one of the things that will be staying. Despite not being a factor that impacts rates, flood zones still will still call shots on whether or not a property is required to carry flood insurance.

Let's talk about the flood map changes that recently came to Rice County in the Land of 10,000 Lakes.

Rice County Flood Maps

Minnesota's Rice County just got new flood maps from the Federal Emergency Management Agency (FEMA) in order to reflect the county's current flood risk.

The state itself is no stranger to flooding, especially during this season as we transition from the cold snowy winter to the warmer blooming spring. As this presents increased flood risks, we look at how floodplain management regulations and flood maps react to this type of change.

Flood Map Updates

In this article, we'll look at the good, the bad, and the ugly changes coming to Rice County in Minnesota. Even though flood zones no longer matter rates-wise, it's important we still look at these to see to understand where flood insurance might be required for almost 2,600 properties that are affected.

The Good

When it comes to the good changes in flood map updates, this generally falls into the "in to out movement". It's called this way because a property that's in a high-risk flood zone will be moved out to a low-risk flood zone like Flood Zone X.

This is a good thing for only 12 property owners impacted by this movement in Rice County. This simply means that your property is being removed from the special flood hazard area (SFHA).

This also means that due to the lower risks, your mortgage company will no longer require you to carry flood insurance on your property.

Although we'd love to tell you to cancel that policy, get your refund, and save more money by removing flood insurance from your expenses, it's still a bad idea to not have flood insurance.

The Bad

Now, let's move into the bad changes which are coming in form of the aforementioned "out to in movement". This change is expected to impact about 17 properties in Rice County,  Minnesota. Think of it as getting mapped to a Flood Zone A when you were previously in a Flood Zone X.

 

Although this doesn't really impact premium rates directly, it's important to note that Flood Zone A generally means that the area doesn't have a base flood elevation.

Being part of this change can still hurt your premium rates regardless of whether you're doing a National Flood Insurance Program (NFIP) policy or a private flood insurance one.

Properties in Flood Zone A, SFHA, or any high-risk zone are also required to carry flood insurance always.

The Ugly

Lastly, we have the ugly change or "in to in movement" which covers the largest impact on this flood map update for the county. At least 377 properties will retain their flood zone. This means that if you're in Flood Zone AE, you will stay there until the next flood map update. Think of it as moving from a Flood Zone A to a Flood Zone AE. 

If you're staying in your flood zone this means that you will also retain the same flood insurance rates since your risks stay the same. On the other hand, if you fall into being moved deeper into the SFHA, which indicates that you're facing a higher risk for flooding, you will also see your premium rates increase significantly.

 

Now, let's talk about your flood insurance options in Rice County. Watch the video below to know the difference between the National Flood Insurance Program (NFIP) and the Private Flood Insurance market.

Flood insurance is important now more than ever as we face higher risks for floods. You don't want to be blindsided by all that floodwater and find yourself in a lot of losses.

If you want to learn more about flood insurance in Minnesota, flood mitigation, or anything related to flood insurance, click below to go to our Flood Learning Center:

You can also click below to call us:

As we got past April 1st, we officially move out of using flood zones as a means of rating flood insurance. However, these zones still have a grip on flood insurance concerns.

With 16 new maps to be added to the county, let's look at the good, the bad, and the ugly changes coming to Gilpin County, Colorado with this new flood map update that's coming on April 6th, 2022.

Flood Map Changes

When it comes to flood map updates from the Federal Emergency Management Agency (FEMA), this generally shows you three separate changes which we'd call the good, the bad, and the ugly changes.

So, what are these changes coming to almost 10,000 properties in Gilpin County, and how do they impact your flood insurance?

The Good

When it comes to the good changes in flood map updates, this generally falls into the "in to out movement". It's called this way because a property that's in a high-risk flood zone will be moved out to a low-risk flood zone like Flood Zone X.

This is a good thing for about 171 properties owners are impacted by this movement in Gilpin County. This simply means that your property is being removed from the special flood hazard area (SFHA).

This also means that due to the lower risks, your mortgage company will no longer require you to carry flood insurance on your property.

Although we'd love to tell you to cancel that policy, get your refund, and save more money by removing flood insurance from your expenses, it's still a bad idea to not have flood insurance.

Yes! This is especially true if you're in a low-risk flood zone. Mostly, this is due to the fact that even Flood Zone X gets flooded and sometimes they get flood damage that is substantially worse than those in coastal zones or SFHA. FEMA even reports that at least 25% of flood claims come from low-risk zones.

The Bad

Now, let's move into the bad changes which are coming in form of the aforementioned "out to in movement". This change is expected to impact about 368 properties in Gilpin County,  Ohio.

Unlike the good change, this means that if you're one of the 368 properties, you'll be getting moved into a high-risk flood zone. Think of it as getting mapped to a Flood Zone A when you were previously in a Flood Zone X.

It's out of Flood Zone X and into Flood Zone A this time around.

Although this doesn't really impact premium rates directly, it's important to note that Flood Zone A generally means that the area doesn't have a base flood elevation. So floodplain administrators don't really know where and how flooding can start.

Putting two and two together, these areas are generally experiencing more unpredictable flood behavior and as a property owner, your chance of flooding can't really be pinned down easily.

Despite not being a basis for flood insurance premiums anymore, if you don't install the necessary flood prevention or mitigation measures, this can still hurt your premium rates regardless of whether you're doing a National Flood Insurance Program (NFIP) policy or a private flood insurance one. Properties in Flood Zone A, SFHA, or any high-risk zone are also required to carry flood insurance always.

The Ugly

Lastly, we have the ugly change or "in to in movement" which covers the largest impact on this flood map update for the county. At least 671 properties will retain their flood zone. This means that if you're in Flood Zone AE, you will stay there until the next flood map update.

Equally, "in to in" may also indicate properties that are in Flood Zone X will stay in this low-risk flood zone; however if you're in the SFHA, this might also mean that you're being mapped deeper into it. Think of it as moving from a Flood Zone A to a Flood Zone AE. 

If you're staying in your flood zone this means that you will also retain the same flood insurance rates since your risks stay the same. On the other hand, if you fall into being moved deeper into the SFHA, which indicates that you're facing a higher risk for flooding, you will also see your premium rates skyrocket.

Being in flood zone A is already a bad thing, but this can become ugly if you move into a Flood Zone AE because generally, this type of high-risk area in the SFHA indicates that the base flood elevation has been determined.

Now, that you know these changes, it's best to also know your flood insurance options in Gilpin County especially if you're one of the property owners that are being moved into or are staying in the SFHA where flood insurance is required.

NFIP

The National Flood Insurance Program (NFIP) is purely managed by the federal government since this is FEMA's answer to flood insurance. An NFIP flood policy can get you flood coverage on both your dwelling and the contents within it.

There is a coverage limit when it comes to federal flood policies. Flood damage to buildings will be covered to a maximum of $250,000 for residential policies and can only go up to $500,000 maximum if it's for a commercial property.

Regardless of the type of property you have written, you can expect to get a $100,000 maximum contents coverage from an NFIP policy.

There's also what's called the Increased Cost of Compliance (ICC) coverage. This is a $30,000 additional coverage for your property in order to make sure that there are flood mitigation efforts made on the property.

Generally, this can include sandbagging your property, installing floodproofing walls, raising your lowest floor from the base flood elevation levels, and putting flood openings. The labor that goes into making these mitigation efforts happen will also be covered under the ICC.

There are also perks to a participating community in Gilpin County. A participating community gets access to federal flood insurance and disaster assistance, but more importantly, you also get to work with your community on raising your Community Rating System (CRS) score.

The CRS measures and rewards the overall flood mitigation efforts done by the community according to FEMA's standards on floodplain management. Simply put, the higher your CRS score is, the bigger the flood insurance discount you'll get from FEMA and the NFIP.

You can start enjoying your NFIP policy after a 30-day waiting period from the flood insurance purchase.

If the federal flood insurance option doesn't really work for you then you can manage this new floodplain mapping through the private flood insurance market.

Private Flood Insurance

It's important to note that this market will solely be managed and provided by private insurance companies which generally means that the red tapes FEMA and NFIP has to go through won't be there.

The first thing you'll immediately see with the private flood market is that there are significantly shorter waiting periods for your flood policy. Once you have everything settled and paid for, the waiting period for the private flood carriers will follow a much shorter timeframe compared to NFIP. A private flood insurance policy can take effect for 3 or up to 15 days maximum.

Another good thing coming out of private flood insurance is that there are no coverage limits. This means that you won't really need to stress over how to get covered for a $500,000 home since it will be fully covered by your policy.

This is the same with contents coverage and you'll also get additional coverages like replacement costs, additional living expenses, and loss of use.

At the end of the day, the choice of where you'll be getting flood insurance depends on you. What's really important is that you know your flood risks and have enough protection from all possible outcomes of a flood event such as flood loss and flood damage.

Click the link below to access our Flood Learning Center where we try to answer your questions on flood insurance and beyond.

It's been a long time coming, but Anderson County in Kansas will be getting its flood maps updated this March.

In this blog, we talk about the good, the bad, and the ugly changes coming to Anderson County, Kansas with this new flood map update coming that came on March 8th. 30 maps are being changed in the county to reflect its risks for flooding. Let's see how this can still impact your flood insurance since rates are no longer impacted.

Flood Map Changes

Flood insurance rate maps (FIRMs) are constantly updated in order to reflect the current floodplain devolvement and changes to a certain area. Now, you may get a new flood map every other month or sometimes it can take up to years. Simply being "in the know" when it comes to these changes can really help you manage the ever-changing landscape of the flood insurance industry.

Now, when it comes to flood map updates from the Federal Emergency Management Agency (FEMA), this generally shows you three separate changes which we'd call the good, the bad, and the ugly changes. Why did we call it this way, well you will have to know for yourself at the latter part of this blog.

So, what are these changes coming to almost 7,500 properties in Anderson County, and how do they impact your flood insurance?

The Good

When it comes to the good changes in flood map updates, this generally falls into the "in to out movement". This is a beneficial change for about 129 properties owners are impacted by this movement in Anderson County. Generally, this simply means that your property is being removed from the special flood hazard area (SFHA).

It's called this way because a property that's in a high-risk flood zone will be moved out to a low-risk flood zone like a Flood Zone X.

Although flood insurance doesn't consider flood zones when it comes to premium rates anymore, this type of movement still holds good news for property owners. This also means that due to the lower risks, your mortgage company will no longer require you to carry flood insurance on your property.

Although we'd love to tell you to cancel that policy, get your refund, and save more money by removing flood insurance from your expenses, we highly discourage removing flood insurance for your property.

Yes! This is especially true if you're in a low-risk flood zone. Mostly, this is due to the fact that even Flood Zone X gets flooded and sometimes they get flood damage that is substantially worse than those in coastal zones or SFHA.

The Bad

Now, let's move into the bad changes which are coming in form of the aforementioned "out to in movement". This change is expected to impact about 218 properties.

Unlike the good change, this means that if you're one of the 218 properties, you'll be getting moved into a high-risk flood zone. Think of it as getting mapped to a Flood Zone A when you were previously in a Flood Zone X.

It's out of the Flood Zone X and in Flood Zone A this time around.

Although this doesn't really impact premium rates directly, it's important to note that Flood Zone A generally means that the area doesn't have a base flood elevation. So floodplain administrators don't really know where and how flooding can start.

Putting two and two together, these areas are generally experiencing more unpredictable flood behavior and as a property owner, your chance of flooding can't really be pinned down easily.

Despite not being a basis for flood insurance premiums anymore, if you don't install the necessary flood prevention or mitigation measures, this can still hurt your premium rates regardless of whether you're doing a National Flood Insurance Program (NFIP) policy or a private flood insurance one. Properties in Flood Zone A, SFHA, or any high-risk zone are also required to carry flood insurance always.

The Ugly

Lastly, we have the ugly change or "in to in movement" which covers the largest impact on this flood map update for the county. At least 2,141 properties will retain their flood zone. This means that if you're in Flood Zone AE, you will stay there until the next flood map update.

Equally, "in to in" may also indicate properties that are in Flood Zone X will stay in this low-risk flood zone; however if you're in the SFHA, this might also mean that you're being mapped deeper into it. Think of it as moving from a Flood Zone A to a Flood Zone AE. 

If you're staying in your flood zone this means that you will also retain the same flood insurance rates since your risks stay the same. On the other hand, if you fall into being moved deeper into the SFHA, which indicates that you're facing a higher risk for flooding, you will also see your premium rates skyrocket.

Now, that you know these changes, it's best to also know your flood insurance options in Anderson County.

Federal Flood Insurance

The National Flood Insurance Program (NFIP) is purely managed by the federal government since this is FEMA's answer to flood insurance. An NFIP flood policy can get you flood coverage on both your dwelling and the contents within it.

When we say dwelling, this simply pertains to either the residential property or commercial building that you're trying to insure with NFIP and FEMA; contents will be more about the personal property and items you have inside the insured building.

There is a coverage limit when it comes to federal flood policies. Flood damage to buildings will be covered to a maximum of $250,000 for residential policies and can only go up to $500,000 maximum if it's for a commercial property.

Regardless of the type of property you have written, you can expect to get a $100,000 maximum contents coverage from an NFIP policy. There's also an additional coverage from FEMA and the NFIP called the Increased Cost of Compliance (ICC) coverage.

There are also perks with your participating community in Anderson County. A participating community gets access to federal flood insurance and disaster assistance, but more importantly, you also get to work with your community on raising your Community Rating System (CRS) score.

The CRS measures and rewards the overall flood mitigation efforts done by the community according to FEMA's standards on floodplain management. Simply put, the higher your CRS score is, the bigger the flood insurance discount you'll get from FEMA and the NFIP.

You can start enjoying your NFIP policy after a 30-day waiting period from the flood insurance purchase.

Private Flood Insurance

If the federal flood insurance option doesn't really work for you then you can manage this new floodplain mapping through the private flood insurance market. It's important to note that this market will solely be managed and provided by private insurance companies which generally means that the red tapes FEMA and NFIP has to go through won't be there.

 

The first thing you'll immediately see with the private flood market is that there are significantly shorter waiting periods for your flood policy. Once you have everything settled and paid for, the waiting period for the private flood carriers will follow a much shorter timeframe compared to NFIP. A private flood insurance policy can take effect on 3 or up to 15 days maximum. 

Another good thing coming out of private flood insurance is that there are no coverage limits. This means that you won't really need to stress over how to get covered for a $500,000 home since it will be fully covered by your policy. This is the same with contents coverage and you'll also get additional coverages like replacement costs, additional living expenses, and loss of use.

At the end of the day, the choice of where you'll be getting flood insurance depends on you. What's really important is that you know your flood risks and have enough protection from all possible outcomes of a flood event such as flood loss and flood damage.

Click the link below to access our Flood Learning Center where we try to answer your questions on flood insurance and beyond.

Remember, we have an educational background in flood mitigation and we want to help you understand flood risks, your flood insurance, and mitigating your property long-term.

Despite no longer using flood zones as a basis for flood insurance rates across the country, flood map updates still have a firm grip over flood insurance. 

In this video, we talk about the good, the bad, and the ugly changes coming to Washington County, Wisconsin with this new flood map update; in fact, it happened on February 25th, 2022.

 

Changing Flood Maps

Flood insurance rate maps (FIRMs) are constantly updated in order to reflect the current floodplain devolvement and changes to a certain area. Now, you may get a new flood map every other month or sometimes it can take up to years. Simply being "in the know" when it comes to these changes can really help you manage the ever-changing landscape of the flood insurance industry.

Now, when it comes to flood map updates from the Federal Emergency Management Agency (FEMA), this generally shows you three separate changes: "in to out movement", "out to in movement", and "in to in movement".

So, what are these changes coming to more than 14,000 properties in Washington County, and how do they impact your flood insurance?

The Good

When it comes to the good changes in flood map updates, this generally falls into the "in to out movement". This is a beneficial change for about 179 properties owners impacted by this movement in Washington County. Generally, this simply means that your property is being removed from the special flood hazard area (SFHA).

It's called this way because a property that's in a high-risk flood zone will be moved out to a low-risk flood zone like a Flood Zone X. Although flood insurance doesn't consider flood zones when it comes to premium rates anymore, this type of movement still holds good news for property owners.

Being moved into a lower-risk flood zone or Flood Zone X when you're previously in a high-risk zone indicates that your property is now facing less risk of flooding. This also means that due to the lower risks, your mortgage company will no longer require you to carry flood insurance on your property.

Although we'd love to tell you to cancel that policy, get your refund, and save more money by removing flood insurance from your expenses, we highly discourage removing flood insurance for your property. Yes! This is especially true if you're in a low-risk flood zone. Mostly, due to the fact that even Flood Zone X gets flooded and sometimes they get flood damage that is substantially worse than those in coastal zones or SFHA.

The Bad

Now, let's move into the bad changes which are coming in form of the aforementioned "out to in movement". This change is expected to impact about 344 properties in Washington County.

In a direct opposite of the good change, this means that if you're one of the properties, you'll be getting moved from outside the SFHA or a low-risk flood zone, and into a high-risk flood zone. Think of it as getting mapped to a Flood Zone A when you were previously in a Flood Zone X.

Again, although this doesn't really impact flood insurance rates directly, it's important to note that Flood Zone A generally means that the area doesn't have a base flood elevation. So floodplain administrators don't really know where and how flooding can start hence you're facing a higher risk than before.

If you don't install the necessary flood prevention or mitigation measures, this will only hurt your premium rates regardless of whether you're doing a National Flood Insurance Program (NFIP) policy or a private flood insurance one. Properties in Flood Zone A, SFHA, or any high-risk zone are also required to carry flood insurance always.

The Ugly

Lastly, we have the ugly change or "in to in movement" which covers the largest impact on this flood map update for Washington County, Wisconsin. This is due to the fact that about 2,420 properties will retain their flood zone. This means that if you're in Flood Zone AE, you will stay there until the next flood map update.

Equally, "in to in" may also indicate properties that are in Flood Zone X will stay in this low-risk flood zone; however if you're in the SFHA, this might also mean that you're being mapped deeper into it. Think of it as moving from a Flood Zone A to a Flood Zone AE. 

If you're staying in your flood zone this means that you will also retain the same flood insurance rates since your risks also stay the same. On the other hand, if you fall into being moved deeper into the SFHA, which indicates that you're facing a higher risk for flooding, you will also see your premium rates skyrocket.

Being in a flood zone A is already a bad thing, but this can become ugly if you move into a Flood Zone AE because generally, this type of high-risk area in the SFHA indicates that the base flood elevation has been determined.

Now, that you know these changes, it's best to also know your flood insurance options in Washington County especially if you're one of the property owners that are being moved into or are staying in the SFHA where flood insurance is required.

A lot of things are changing with the federal side of flood protection as the new Risk Rating 2.0 from the Federal Emergency Management Agency (FEMA) and the National Flood Insurance Program (NFIP). Today, we want to talk about something that's always been changing in the flood insurance industry and how these flood insurance rate maps will impact your flood insurance.

Flood Zones in Risk Rating 2.0

In our current time, a lot of things are changing and will continue to change. One of the things that are long overdue and was in dire need of an update, if not overhaul, was the federal flood insurance. In the legacy program or the NFIP 1.0, there are significant things that are supposed to be addressed when it comes to flood risks and the system falls flat on its face when it comes to these.

It's well-known that the legacy did its part in protecting people from flood loss and devastating flood damage, but the thing is flood insurance — like any other insurance policy — are cautious proactive means. Protecting the insured was never reactive when it comes to very uncontrollable and volatile situations like a flood event, and this is something that the Risk Rating 2.0 greatly improves on.

The new Risk Rating 2.0 program addresses flood insurance based on the unique flood risks your property is facing. This means that they will look at flood risk variables such as elevation, frequency of flooding, construction, claims history, and replacement costs, to name a few, in understanding your property's flood risk and thus flood insurance premium.

This is what we call "your fingerprint of flood risk" since every house or building will have a unique risk rating score with the new flood insurance program.

READ: NFIP Risk Rating 2.0 Update

It's important to keep in mind that Risk Rating 2.0 will only look at flood zones for regulatory purposes. This means flood insurance rate maps (FIRM) and the flood zone changes happening with it will only be used to determine whether or not a property is required to carry flood insurance or not.

We'll move past being concerned with your property's location when it comes to your flood insurance rates. Basically, the rating flood maps of old are out and the regulatory flood maps of Risk Rating 2.0 is the new standard.

Today, we discuss the good, the bad, and the ugly changes with the flood map updates to the Golden Valley County, Ryegate, and its respective communities that will start to take effect this November 5th, 2021. We want to focus on how many properties will be impacted by this new floodplain mapping, how many properties are moving into high-risk flood zones, how many are being removed from it, and how many are going deeper into the special flood hazard areas (SFHA).

The Good

The first flood zone movement we'll discuss is what's called an "in to out" movement.

In the NFIP legacy program, this change meant that these properties will get lower flood insurance rates due to the lower flood hazards that your property faces. This also meant that you'll no longer be required by your mortgage or the government to carry flood insurance on your insured property. Since flood zones in the new Risk Rating 2.0 program will no longer impact your rates, this only means that you will no longer be required to carry flood insurance.

This movement will impact only 12 properties in Golden Valley County and Ryegate City. Generally, we call this a good change even before Risk Rating 2.0 came into the picture because this meant that the property is being removed from a high-risk flood zone and moved into a low-risk flood zone.

Is this good enough of a reason to NOT carry flood insurance?

At the surface, this may look like a good deal to no longer be required to carry flood insurance however at its core, not having flood insurance is generally a bad idea even if you're being moved to a low-risk area like Flood Zone X. This is because it's only a low-risk zone that you're moving in, not a no-risk flood zone. Simply put, you're still not exempted from being flooded even if your property sitting in a low-risk flood zone.

The Bad

Now, let's move to the bad changes coming with this new flood map update. FEMA calls this an "out to in" movement since the flood insurance rate map will take properties that are in the low-risk zones and place them into high-risk zones.

There are 115 property owners that will experience this movement in the upcoming floodplain map. This means that if you're impacted by this bad change, the regulatory standpoint of Risk Rating 2.0 when it comes to flood zones will kick in due. Property owners that are included in the out-to-in movement will now be required to carry flood insurance regardless if they insured residential properties or commercial ones.

High-risk areas like flood zone A or 100-year floodplain generally mean that the properties in this area will have a 26% chance of floodwater inundating during a 30-year mortgage. 

The Ugly

Lastly, we have the ugly changes coming to Golden Valley County and its cities like Ryegate City. The ugly change is something that FEMA calls an "in to in" movement. Generally, this indicates that the impacted properties are very likely to get inundated by any flood event. Unlike low-risk flood zones, these flood zones experience more devastating floods due to their proximity to a water source.

This is because this will impact properties that are already in the SFHA and will be mapped into a higher-risk flood zone. We could also say that this is like moving your insured property from a flood zone A to a flood zone AE.

About 80 properties are expected to experience this in-to-in movement on the flood maps. Just like the bad change or out to in, this also means that you will be required to carry a flood insurance policy for your property. This number may be due to the base flood depths getting worse due to multiple factors.

Now that we have covered the good, bad, ugly changes, and how this can impact your flood insurance purchase, let's talk about your flood insurance options in Ryegate, Montana.

The NFIP

The National Flood Insurance Program (NFIP) is purely managed by the federal government since this is FEMA's answer to flood insurance. An NFIP flood policy can get you flood coverage on both your dwelling and the contents within it.

When we say dwelling, this simply pertains to either the residential property or commercial building that you're trying to insure with NFIP and FEMA; contents will be more about the personal property and items you have inside the insured building.

There is a coverage limit when it comes to federal flood policies. Flood damage to buildings will be covered to a maximum of $250,000 for residential policies and can only go up to $500,000 maximum if it's for a commercial property. Regardless of the type of property you have written, you can expect to get a $100,000 maximum contents coverage from an NFIP policy.

There's also what's called the Increased Cost of Compliance (ICC) coverage. This is a $30,000 additional coverage for your property in order to make sure that there are flood mitigation efforts made on the property according to the federal government's standards.

Generally, this can include sandbagging your property, installing floodproofing walls, raising your lowest floor from the base flood elevation levels, and putting flood openings. The labor that goes into making these mitigation efforts happen will also be covered under the ICC.

There are also perks with your participating community in Sibley. A participating community gets access to federal flood insurance and disaster assistance, but more importantly, you also get to work with your community on raising your Community Rating System (CRS) score. The CRS measures and rewards the overall flood mitigation efforts done by the community according to FEMA's standards on floodplain management. Simply put, the higher your CRS score is, the bigger the flood insurance discount you'll get from FEMA and the NFIP.

You can start enjoying your NFIP policy after a 30-day waiting period from the flood insurance purchase.

The Private Flood

If the federal flood insurance option doesn't really work for you then you can manage this new floodplain mapping through the private flood insurance market. It's important to note that this market will solely be managed and provided by private insurance companies which generally means that the red tapes FEMA and NFIP has to go through won't be there.

The first thing you'll immediately see with the private flood market is that there are significantly shorter waiting periods for your flood policy. Once you have everything settled and paid for, the wait period for the private flood carriers will follow a much shorter timeframe compared to NFIP. A private flood insurance policy can take effect on 7 or up to 14 days maximum. 

Another good thing coming out of private flood insurance is that there are no coverage limits. This means that you won't really need to stress over how to get covered for a $500,000 home since it will be fully covered by your policy. This is the same with contents coverage and you'll also get additional coverages like replacement costs, additional living expenses, and loss of use.

Fair warning, it's a known issue in the private insurance market in general that they will do moratoriums when there are risks that are too high for their comforts.

This simply means that they will either put a stop or take a break from providing flood insurance policies to a certain area that has higher risks. There's also a chance that you might not get to buy flood insurance from them once they decide to non-renew your policy.

At the end of the day, the choice of where you'll be getting flood insurance depends on you. What's really important is that you know your flood risks and have enough protection from all possible outcomes of a flood event such as flood loss and flood damage.

Click the link below to access our Flood Learning Center where we try to answer your questions on flood insurance and beyond.

Remember, we have an educational background in flood mitigation and we want to help you understand flood risks, your flood insurance, and mitigating your property long-term.