Do you live in Florida and want to determine your home’s flood risk? Currently, over 2.3 million homes across the state have at least a 26% chance of flooding within the next 30 years.
Seeing as that represents well over a third of all of the homes in Florida, it’s worth understanding how to calculate the flood risk for your home so you can ensure you’re protected with the right type of insurance.
What Is Flood Risk?
Flood risk refers to the likelihood that a certain area will experience flooding. This can vary based on several factors, including geographical location, weather patterns, and infrastructure.
High flood-risk areas may experience frequent or severe floods, while low flood-risk areas may rarely or never experience flooding. Government agencies use this type of risk factor to help citizens and homeowners make decisions about where to live.
Insurance companies then use this risk factor to calculate flood risk as it relates to the price of an insurance policy.
Understanding Property Flood Risk in Florida
As mentioned above, understanding your property’s flood risk can help you make decisions about purchasing or renting a home, as well as understanding what kind of insurance coverage might be necessary.
Where do you find information regarding your property flood risk in Florida? FEMA’s flood maps are a great place to start. To use these maps, enter your Florida home address and let the system generate a flood risk breakdown according to flood zones.
Understanding these flood zones is important as part of your property purchase decision, but it’s also important once you’re a homeowner as well. Depending on which flood zone you live in, you might be required to have flood insurance.
Moderate to Low-Risk Flood Zone
In Florida, moderate to low-risk flood zones refer to areas that have a lower chance of being affected by flooding. These zones are typically located farther away from rivers, lakes, and coasts.
While they still may be at risk for flood damage during heavy rainfall or hurricanes, moderate to low-risk flood zones are less likely to experience frequent or severe flooding compared to high-risk areas.
How can you find this type of flood risk on a map? Typically, they’ll be assigned B, C, or X codes. These codes have less than a 1% chance of flooding annually. While this is low, current projections also predict this could risk over the next 30 years.
While flood insurance won’t be required if you live in this type of Florida flood zone, it’s a good idea to take out a flood insurance policy just in case.
High-Risk Flood Zone
In Florida, high-risk flood zones are determined by the Federal Emergency Management Agency, just like the other zones. These zones often include coastal areas and low-lying regions, such as near rivers or lakes.
You will know that you live in a high-risk flood zone because it will be assigned a code such as AE, A, AH, AO, or A1 through A30 on the flood risk map mentioned above.
What does this code mean? It means that there is at least a 1% chance of flooding annually. It also means that, according to current projections, the risk could increase to 25% over the next 30 years.
Because of this risk factor, homeowners in high-risk flood zones are required to have flood insurance and may need to follow certain building requirements to minimize damage from floods.
When purchasing property, it’s essential to check if it falls within a high-risk flood zone and make necessary preparations before disaster strikes. Note that you will also need to factor the cost of flood insurance into your purchase and budget.
Coastal Areas
If you are living in a coastal area in Florida, then you will also be required to take out flood insurance on your Florida property. Due to their proximity to water, coastal homes are often considered to be high-risk flood zones.
You will know that you live in a high-risk coastal area flood zone because it will be assigned a code such as V, VE, or V1 through V30. In these areas, there is at least a 1% chance of flooding annually each year.
The D Zone
While this isn’t as common in Florida, there are certain zones on FEMA maps that haven’t been designated as currently having any flood risk. However, they are in zones that are still considered a flood risk.
Why You Need Flood Insurance in Florida
Flood insurance may not always seem necessary, especially in areas that don’t experience frequent flooding. However, living in Florida means being at a higher risk for floods, particularly during hurricane season.
Flood insurance can provide financial protection for your home and belongings in the event of a flood. Flood damage is not usually covered under standard homeowners insurance policies, so it’s important to have separate flood insurance for full coverage.
As mentioned above, you simply might be required to have flood insurance if you live in a high-risk flood zone. If you’re taking out a mortgage loan, then lenders will want to ensure you have flood insurance to protect the property from damage (and their stake in it).
Does Flood Risk Affect Flood Insurance?
Insurance companies calculate flood risk to determine your flood insurance premium, yes. If you have a high risk of property flooding, then your premium will be more because the risk of damage is greater.
Currently, FEMA uses the Risk Rating 2.0 model to calculate risk. Insurance companies will use this to determine where your Florida property is located within the various risk zones. That being said, you can find great deals on Florida flood insurance if you know where to look.
Get a Quote for Florida Flood Insurance
Is your Florida property a high flood risk? If so, you’re likely required to carry flood insurance. Even if you’re not required to, it’s a great idea to protect your home, your belongings, and your family with a flood insurance policy.
At Harris Insurance, we compare quotes, so you don’t have to. Click here to get your free quote today.
LEGAL DISCLAIMER
Views expressed here do not constitute legal advice. The information contained herein is for general guidance of matter only and not for the purpose of providing legal advice. Discussion of insurance policy language is descriptive only. Every policy has different policy language. Coverage afforded under any insurance policy issued is subject to individual policy terms and conditions. Please refer to your policy for the actual language.
