Owning a home in a non-coastal Flood Zone AE presents specific challenges — particularly when it comes to flood insurance.
While the National Flood Insurance Program (NFIP) has historically been the only option, private flood insurance now offers compelling alternatives that often mean better coverage, faster claims, and lower costs for Zone AE properties.
Flood Zone AE designates areas with a 1% annual chance of flooding — what FEMA calls the “100-year floodplain.”
Heavy rainfall
Overflowing rivers and streams
Snowmelt
Dam or levee failures
Urban drainage failures
Non-coastal floods often have more predictable patterns and less destructive forces (like wave action), which can create better opportunities with private insurance.
Zone AE properties have a 26% chance of flooding during a 30-year mortgage.
Standard homeowners' insurance excludes flood damage.
One flood event could cause catastrophic financial loss.
Even if your mortgage is paid off, flood insurance remains a smart investment.
$250,000 max building coverage
$100,000 contents coverage
No additional living expenses (ALE)
Limited basement protection
$5M or more in building coverage
$1M or more in contents coverage
ALE typically included
Better basement protection
Coverage for pools, landscaping, and detached structures
For properties over $250,000, private insurance usually offers far better protection.
More sophisticated risk modeling
Consideration of mitigation measures
Competitive private market
In our experience, about 60% of customers switching to private flood insurance save money and improve coverage.
NFIP: Slower processing, strict Proof of Loss deadlines
Private: Faster claims (especially under $50K losses), flexible documentation, and advance payments available
NFIP: Slower processing, strict Proof of Loss deadlines
Private: Faster claims (especially under $50K losses), flexible documentation, and advance payments available
Pro Tip:
Private insurers usually settle small to mid-size non-coastal flood claims faster than NFIP.
In over 20 years, we’ve never had a private flood insurance claim denied when flood damage was the proven cause.
Even a few inches above Base Flood Elevation (BFE) can slash private flood insurance premiums.
Getting an Elevation Certificate is essential to unlock these savings.
More warning time
Slower water rise
No wave action or saltwater damage
Private insurers price these risks more favorably.
Install flood vents
Elevate mechanical systems
Improve property drainage
Install sump pumps and backflow preventers
Premium discounts of 20–40% are possible with proper mitigation!
Hydrological analysis
Catastrophic scenario simulations
Property-specific elevation and drainage mapping
Elevation relative to BFE
Building type and construction quality
Mitigation improvements
CRS (Community Rating System) participation
Local flood management and drainage control
Get a current survey to document elevation — it can dramatically reduce premiums.
Determine true replacement cost, belongings value, and whether ALE and detached structures need protection.
Look for providers specializing in flood insurance with strong financial ratings (A.M. Best “A” or higher).
Always match coverage levels, deductibles, and terms — and ask about co-insurance clauses.
Understand exclusions, basement coverage, ALE limits, and what happens after a claim.
Home elevated 2 ft above BFE
NFIP quote: $2,100/year
Private quote: $1,450/year with full replacement coverage
Private insurer paid $35K spring flood claim swiftly.
$375K suburban home with $100K basement
NFIP: minimal basement coverage
Private: full protection for the basement and belongings
Covered $28K in repairs after groundwater seepage.
$525K home + detached structures
NFIP: limited only to the main home
Private: full coverage for all structures
Saved tens of thousands after the creek overflow damaged multiple buildings.
Elevate home or utilities
Install flood vents and backflow preventers
Choose higher deductibles
Document all mitigation measures
Is private insurance accepted by my lender?
Yes, as long as coverage is equivalent or better than NFIP.
Can I switch mid-policy?
Yes — with a possible pro-rated refund from NFIP.
What if private flood becomes unavailable?
You can switch back to NFIP — they must accept you if you’re in a participating community.
How quickly are private claims paid?
Often, within 7–14 days after the adjuster's inspection, for initial payments.