A mortgage lender may require you to buy flood insurance because they want to protect their investment in your property. Usually, this means properties that have a federally backed mortgage and that are in high-risk flood zones are required to have flood insurance coverage. It’s important to note that the Flash Flood coverage*, though beneficial to have for many reasons, doesn’t satisfy the flood insurance requirement from lenders. The good news is you can meet this requirement through the National Flood Insurance Program.