There are generally two types of flood insurance available:
1. National Flood Insurance Program (NFIP) policies—The NFIP is a federal program administered by the Federal Emergency Management Agency (FEMA). It offers flood insurance coverage for residential and commercial properties in participating communities across the United States. NFIP policies provide building coverage and contents coverage, which protect the structure of your property and its contents, respectively.
2. Private flood insurance policies—Besides the NFIP, private insurance companies offer flood insurance coverage. Private flood insurance policies may provide similar coverage as NFIP policies but often offer additional benefits and options. These policies are not limited to NFIP-participating communities and may provide higher coverage limits or more customized coverage options. Private flood insurance policies vary depending on the insurance provider.
It’s important to note that flood insurance coverage, whether through the NFIP or private insurers, typically has certain exclusions and limitations. Reviewing the specific policy details, terms and conditions when considering flood insurance is recommended.