What counts as a flood
Insurance defines a flood as a temporary inundation of normally dry land from overflow, unusual rapid runoff, or mudflow. Damage from a burst pipe inside the home is plumbing and is usually covered by your homeowners policy. Damage from groundwater rising through the foundation is a flood and is not.
The National Flood Insurance Program
The NFIP, administered by FEMA, is the largest flood insurer in the country. Coverage is capped at $250,000 for the dwelling and $100,000 for contents. Policies have a 30-day waiting period before coverage takes effect, so buying after a storm is forecast does not work.
Private flood insurance
Private flood insurers have grown significantly and often offer higher limits, additional living expenses coverage, and faster claims handling. They are worth comparing against the NFIP, especially for higher-value homes.
Key takeaways
- Standard homeowners policies exclude flood damage.
- NFIP coverage caps at $250,000 dwelling / $100,000 contents.
- There is a 30-day waiting period — buy before you need it.
- Private flood insurance can offer higher limits and broader coverage.
This article is for general educational purposes and is not legal, financial, or insurance advice. Consult a licensed professional for decisions specific to your situation.