Coverage is effective immediately, as long as the premium is presented at or prior to loan closing. There is no waiting period when flood insurance is required as a result of a lender determining that a loan which does not have flood insurance should be protected by flood insurance. Coverage is effective immediately, as long as the premium is presented at the completion of a loan application. There is a one-day waiting period when an additional amount of insurance is required as a result of a map revision. The increased amount of coverage will be available 24-hours after the amount of coverage is applied for and the additional premium is made.
Flood insurance is required by law in some instances.
To get Federally secured financing to buy, refinance, build, repair, reconstruct or improve structures in Special Flood Hazard Areas you may be required to purchase flood insurance. This includes most types of mortgage loans, as well as FHA and VA loans. A flood insurance policy also reimburses you for actions you take to prevent flood damage.