National Flood Insurance Program

Condominium 

Coverage

For more information about the NFIP 

and flood insurance, call 

1-800-427-4661, 

or contact your 

insurance company or agent. 

For an agent referral, call 

1-888-435-6637

TDD 1-800-427-5593

http://www.fema.gov/business/nfip

http://www.floodsmart.gov

F-029

There are several methods of insuring 

condominiums under the National 

Flood Insurance Program (NFIP). 

Each method has its own eligibility 

requirements for condominium type.

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The Residential Condominium 

Building Association Policy Covers 

More Condominium Types

Condominium Associations, in a Regular Program 

community, can purchase flood insurance coverage 

on a residential building and its contents under a 

Residential Condominium Building Association 

Policy (RCBAP).

In addition to providing coverage for residential 

condominium buildings without imposing the 

burden of purchasing individual policies for each 

unit, the RCBAP expands the eligibility requirements 

to include all types of residential condominium 

buildings owned by the association, including:

Garden apartment-type construction

Townhouses

Rowhouses

Single-family detached buildings 

owned by the association 

Fee interest timeshare buildings

Saving on Flood Insurance — 

NFIP Grandfathering

FEMA is currently updating and modernizing 

the nation’s flood maps. The new maps will 

reflect recent changes to floodplains and flood 

risks, and will drive changes in flood insurance 

requirements for some property owners. You can 

keep, if it to your benefit, the rate associated with 

the prior map’s flood zone, if:

You or the association’s flood insurance 

policy was bought before a new map became 

effective; or 

The building was built to conform to 

standards of the earlier map.

You should ask your insurance agent 

what documentation you will need to be 

grandfathered to the old rates. 
unit remains undamaged. Also, condominium 

by-laws require all unit owners to be assessed for 

uninsured damages to common areas of a building 

if damaged by flood.

Preferred Risk Policy Eligibility

In a Regular Program community, located in lowto moderate-risk flood zone (identified as “B,” 

“C,” or “X” on Flood Insurance Rate Maps), the 

Dwelling Form Preferred Risk Policy (PRP) offers 

low-cost, fixed combinations of building and 

contents coverage for an individual condominium 

unit in a residential condominium building. 

Residential condominium associations eligible 

under the RCBAP are not eligible for the PRP. 

However, associations who own individual units in 

a multi-unit residential condominium building are 

eligible for PRP when insuring the individual unit.

Non-Residential 

(Commercial) Condominiums

Building and Contents — Non-residential 

(commercial) condominium buildings and 

their commonly owned contents may be insured 

in the name of the Association under the General 

Property Form. The “Non-Residential” limits apply.

Building Contents

Emergency Program $100,000 $100,000 

Regular Program $500,000 $500,000

This includes non-residential buildings, such as 

pool houses, clubhouses, detached garages or 

storage buildings on the premises of a residential 

condominium community.

Unit Owners’ Coverage (Contents) — The 

owner of a non-residential condominium unit 

may purchase contents coverage only for that 

unit. Building coverage cannot be purchased in 

the name of the unit owner.

Other Major Benefits

The Residential Condominium Building 

Association Policy is a master flood 

insurance policy issued to residential 

condominium associations. Subject to its 

conditions, limitations and exclusions the 

RCBAP is designed to insure both common 

and individually owned building elements. 

Coverage for commonly owned contents 

can also be purchased. The RCBAP:

Offers a high limit of coverage: 

Building — $250,000 multiplied by the 

number of units, or the replacement 

cost of the building, whichever is less.

Contents — $100,000 or the actual 

cash value, whichever is less.

Assists unit owners with mortgage 

insurance requirements.

Provides greater protection against 

liability issues to condominium 

associations and board members.

Allows condominium associations 

to comply with by-law property 

insurance requirements.

The RCBAP Provides Greater 

Coverage for Less Premium

Building coverage is provided on a replacement 

cost basis. A co-insurance clause requires the 

condominium association to insure its building to 

at least 80 percent of the replacement cost value, in 

order to avoid uninsured losses.

Cost-effective flood insurance protection is 

provided by insuring all units in a condominium 

building under a single policy requiring only one 

deductible, creating a cost savings to unit owners.

Unit Owners’ Coverage — 

Building and Contents

An individual dwelling unit in a condominium 

building, defined as a single-family residence, may 

also be insured under the Standard Flood Insurance 

Policy — Dwelling Form in one of three ways:

An individual unit and its contents may be 

separately insured by the unit owner.

An individual unit may be separately insured 

if the policy is purchased by the association 

in the name of the “owner of record, unit 

number and (name of) Association as their 

interests may appear.”

An individual unit owned by the association 

may be separately insured if the policy is 

purchased by the condominium association.

Unit owners need to be aware that, if for any 

reason a condominium association elects to 

discontinue its RCBAP, individual unit owners 

may be responsible for covering flood damage. 

That is why having flood insurance and proper 

coverage is important for all residents living in 

condominium buildings, including high-rise 

condominiums. It doesn’t matter if you live on the 

first, third, or tenth floor, every unit owner has 

an undivided interest in the common elements 

of the building and can be assessed for unpaid 

damages to common areas even if their own