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How Much Does Flood Insurance Cost?

Updated: Jun 21

The average cost of a National Flood Insurance Program (NFIP) policy varies substantially. The average cost for an NFIP flood policy in the U.S. is $747.00 per year. The highest average in the United States is in the state of Vermont at $1,388.50, while the lowest is Maryland at $502.18.*

Flood Insurance Cost Factors

Your Property’s Flood Zone There are a lot of factors that go into determining the cost of a flood insurance policy. One of those factors is flood zones. FEMA assigns flood zones to specific geographic areas based on the estimated level of flood risk. The NFIP uses this information to determine if purchasing flood insurance is mandatory. Flood zones with the highest risk are classified as special flood hazard Areas, or SFHAs, and include both A and V zones. Properties in a Special Flood Hazard Area are required to have flood insurance.

The Elevation of Your Home’s Lowest Floor The lowest floor of your home is typically the most vulnerable to flooding, so its elevation is often the most significant factor impacting your flood insurance premium. This information is compared to your area’s base flood elevation, which is the projected level flood waters are expected to reach during a 100-year flooding event. If your home’s lowest floor is below the base flood elevation, as established by FEMA, your flood insurance rate can increase significantly. On the other hand, if your lowest floor is above the base flood elevation, you may be able to save a considerable amount on your premium.

The Value of Your Property and its Contents The amount and the type of coverage you select will affect your policy’s overall cost. The NFIP offers a maximum of $250,000 for building coverage for residential properties, while our private flood insurance offers a maximum of $4,000,000.. When purchasing flood insurance, it is important to consider whether or not you want to insure the contents of your home. Many people assume that damage to their personal property will be covered under their homeowners policy, and elect to decline contents coverage. . Unfortunately, flood is an excluded peril under standard homeowners and renters’ policies. While foregoing content coverage can save you money, it could cost you more in the event of a loss. Choosing a higher deductible can also help to lower your premium, but you will need to ensure you hold enough in reserve to satisfy your deductible if you end up filing a claim.

Your Home's Age and Occupancy Your insurance rates may increase or decrease depending on when you home was built. Homes built using older construction techniques and materials tend to sustain more significant damage during natural disasters such as flooding, and as a result require more extensive repair. In addition, costs to repair or replace older homes are often much higher than newer ones. If you are fortunate enough to have a secondary home, you may find that it costs more to insure it than your primary residence. Seasonal homes tend to be “riskier” because they are unoccupied much of the time. Losses at unoccupied residences tend to be more extensive since no one is around to take preventative measures, and it may take longer to notice and address any damage.

Location of Your Utilities Heating and cooling systems, water heaters, electrical panels, and other utilities are a vital part of your home. They are also expensive to repair or replace! Keeping them elevated so they are less likely to be damaged in a flood can offer flood insurance savings. Consider elevating your utilities by using attic space, an upstairs closet, or elevated platform.

NFIP vs. Private Flood Insurance

Knowing what is covered and what is excluded under your policy is vital when choosing flood insurance. If you have a finished basement, we recommend opting for a private flood insurance policy as this coverage is not available through the NFIP.

FloodPrice offers both NFIP and Private Flood Insurance to make sure you get the best policy for your home. We are happy to compare the costs and the coverages to ensure you’re getting exactly what you need. Give us a call today at 866-503-5663 or get a quote online at

*Pricing was as of March 2023.


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