Flood insurance is a type of property insurance that can protect your building and its contents in the event of a flood caused by heavy rain, storm surges, clogged storm drainage systems, or levee dam failure. While not every homeowner requires flood insurance, it may be a wise investment no matter where you live. The Federal Emergency Management Agency (FEMA) reports that more than a quarter of homeowners who have filed a flood damage claim do not even live in a flood zone.
Homeowners can obtain flood insurance through the National Flood Insurance Program (NFIP) or from private providers. The structure of NFIP policies is set by the government, leaving little room for customization; however, homeowners can get a customized policy with a premium that better reflects the risk of flooding specific to their property thanks to private flood insurance providers.
Here are the best companies for your different needs.
GEICO
GEICO is the best flood insurance company overall, thanks to its impressive financial strength to back up its claims, high customer satisfaction ratings, and online quoting and policy access tools.
GEICO has surpassed other flood insurance companies as our overall best due to its strong financial strength and customer service reputation.
GEICO was founded in 1936 during the Great Depression to provide insurance to government employees and military personnel. In fact, the full name of the company is Government Employees Insurance Company. It has been an indirect, wholly-owned subsidiary of Berkshire Hathaway, Fortune's most-admired property and casualty insurance carrier, since 1996.
GEICO employs local agents to sell their products, ensuring that clients benefit from having local knowledge on their side. You can get an online quote for flood insurance or call to speak with a live agent. To file a claim, contact a live agent at the company of your GEICO partner carrier.
Writing policies nationwide, the average annual cost for a single-family primary residence with $100,000 building flood insurance and $40,000 content insurance is $439. It would cost $346 per year to insure only your home's contents against flood damage up to $100,000.
The cost of your policy will vary depending on whether you live in the home all year or only part of the year, whether you rent it out to others, and whether you insure a commercial property.
GEICO's coverage excludes carpet and personal property stored in the basement. You will not be eligible for a policy if your home is entirely or partially above water. For example, if your house is built on stilts or pilings above the water in an ocean, river, or lake, it will not qualify for GEICO's flood insurance policy.
The Flood Insurance Agency
The Flood Insurance Agency insures commercial buildings, residential investment properties such as apartment buildings that are considered "commercial" by investors and lenders, and personal residences. TFIA is a great fit for commercial property investors who own apartment buildings because they can tailor the coverage for the building itself, allowing renters to carry the apartment contents coverage.
Get a quote online or call the toll-free number for live assistance. Customers highly value their interactions with TFIA agents.
Once you've purchased a policy, you can pay your renewal, request an endorsement, and cancel your policy online. Although you cannot file a claim online, they do have a page dedicated to filing a claim by phone or email, as well as other resources and clear, step-by-step guidance to help you get through a difficult flood event. TFIA writes policies in all states except Kentucky and New York.
We quoted a $5 million replacement cost for the building, a $500,000 replacement cost for the contents, a $10,000 deductible, and a one-year premium for a large commercial building in a medium-sized city with a "A" flood zone rating. The annual quote was $31,896.
The location of the building, the type of foundation, the replacement cost of the building and contents, the amount of coverage and deductible you select, and the type of premium you want: a one-year premium, a rate lock, or a multi-year pre-paid premium are all factors that will affect your commercial flood insurance quote with TFIA.
TFIA does not cover all possible scenarios. Your building will not qualify if it is located in a Coastal Barrier Resource Act (CBRA) or non-participating FEMA community. TFIA will not be able to provide flood insurance if the building has been flooded more than once in the last five years or has been designated by FEMA as a Severe Repetitive Loss Property.
Assurant
Assurant takes online service to the next level with a simplified online claim filing process. You can also renew your policy, view policy information, and make an advance payment. We chose Assurant as our best flood insurance company for online services for these robust online services.
Pros
- Over a century of experience
- Online portal for filing a claim
- Underwrites for well-known flood insurance companies such as GEICO.
- Choose between online and phone service.
Cons
- An increase in the number of customer complaints
- Increased policy costs
- Response time for claim services is slow.
More consumers want the convenience of online shopping and customer service every year, and insurance companies are no exception. Assurant considers these expectations and designs their services with an online approach, which is why we chose it as the best if you prefer a mostly online experience.
Assurant Insurance is a well-established insurance company. It began with disability insurance in 1892 and gradually expanded its services to include flood, homeowners, rental, casualty, and device protection insurance. AM Best has given the company an A (Excellent) rating.
Claims can be filed either online or over the phone. If you prefer, Assurant can supplement its online services with local independent insurance agents, but its best tool is its online service, which is available 24 hours a day, seven days a week. While you cannot get an online quote through their website, there is a short contact form where you can request that an agent contact you.
You can also get answers to your questions through their helpful guides, as well as see head-to-head comparisons to help you make decisions. Once you have a policy, Assurant allows you to do more online than any other company, including filing claims, making payments, and adjusting your policy.
Because Assurant is one of GEICO's flood insurance providers, the rates are the same as those listed above. A $100,000 building flood insurance policy with $40,000 content insurance for a single-family home typically costs $439 per year.
Assurant has a unique program called FlexCash. It's an add-on for up to $10,000 in discretionary funds paid prior to the processing of a claim, for things like travel and hotel expenses incurred as a result of your displacement.
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