Flood insurance can be complex, especially when it comes to covering additional expenses after a flood. In this video, The Flood Insurance Guru explains Increased Cost of Compliance (ICC) — what it is, how it works, and how it can benefit homeowners.
Increased Cost of Compliance (ICC) is a provision under NFIP flood insurance, administered by FEMA, that helps property owners cover costs associated with bringing their home into compliance with current floodplain management regulations after substantial damage or repetitive loss.
ICC coverage is available in two situations:
Substantially damaged homes – If your home has sustained significant flood damage, ICC can help cover costs to rebuild in compliance with current floodplain standards.
Repetitive loss properties – Homes that have experienced multiple flood losses may qualify for ICC funding to reduce future flood risk.
Coverage amount: ICC provides up to $30,000 to help mitigate flood risk, which can include costs for elevation, floodproofing, or relocation to meet federal or local floodplain regulations.
Understanding ICC is crucial for homeowners navigating flood insurance claims and floodplain compliance. While NFIP sets the standard for ICC, many state or local agencies may also have programs that support mitigation efforts. By knowing your options, you can:
Reduce future flood damage
Lower long-term flood insurance premiums
Take advantage of federal and local mitigation programs
Make informed decisions about repairs and improvements
In this video, The Flood Insurance Guru walks you through how ICC works, how to qualify, and how it can help you protect your property while complying with floodplain regulations.