Understanding Flood Insurance in South Florida

Flood insurance is not included in your homeowners policy. Learn about NFIP and private flood options for Palm Beach County.

One of the most common misconceptions we hear in our Lantana office is, "my homeowners insurance covers flooding." It does not. Flood damage from rising water — whether from a hurricane storm surge, a king tide, or heavy rain that overwhelms storm drains — is excluded from every standard homeowners policy in Florida. NFIP vs. private flood There are two main markets for residential flood insurance: the National Flood Insurance Program (NFIP), administered by FEMA, and the growing private flood market. NFIP coverage is capped at $250,000 for the building and $100,000 for contents. Private flood policies often offer higher limits, replacement cost on contents, additional living expense coverage, and shorter waiting periods. Who needs flood insurance? Homeowners in FEMA designated high-risk zones (AE, VE, etc.) with a federally backed mortgage are required to carry it. More than 25% of NFIP claims come from properties outside the high-risk zones. Renters can purchase contents-only flood policies, often for less than $200 per year. Condo unit owners should review their HOA master flood policy and fill the gaps with an HO-6 flood policy. Plan ahead — there is a waiting period Most flood policies have a 30-day waiting period before coverage takes effect. You cannot buy a policy the day before a hurricane and expect it to pay. Bind your coverage at the start of the season, not when the cone is pointed at us. Talk to a Lantana independent agent Independent agents who actually shop the market. B & B Insurance Agency has served South Florida from our Lantana office since 1998. We'll find the carrier that fits your life — not the other way around. Talk to an agent.