When new maps become effective, if your building is newly mapped into a high-risk area and you have a mortgage with a federally regulated or insured lender, you will need to purchase flood insurance. If your property is mapped into a moderate- or low-risk area, you are not required by federal law to purchase or maintain insurance, but are strongly encouraged to do so. The cost of properly protecting your home and contents from flood damage is far less expensive than the cost to repair or replace it after a flood has occurred.
Through the National Flood Insurance Program, coverage can often be obtained at significant savings. The average cost for a flood insurance policy is approximately $600 per year. Further, homeowners may qualify for a Preferred Risk Policy that covers both a building and its contents for as little as $129 per year. Coverage for renters starts at just $49 a year. Talk to your insurance agent to determine the appropriate level of protection you need and the money savings options that are available.