Floods are unique among disasters in that they can affect very large areas (sometimes spanning multiple states) and flood damage can nearly guarantee complete losses on most property in an affected home. Flood insurance is for when the truly worst happens to your home. It won’t bring your mementos back, but it can help you rebuild your life after loss.


Depending on where your home is located, flood insurance may be required by law. And even if it’s not required, it may still be a good idea to have: up to 20% of all flood relief requests come from areas that are not considered “high risk” for flooding. For these reasons, your mortgage lender may require you to buy flood insurance.


The amount of flood insurance coverage required by the Flood Disaster Protection Act of 1973, as amended by the National Flood Insurance Reform Act of 1994, is the lesser of the following:


    • The maximum amount of NFIP coverage available for the particular property type,
    • The outstanding principal balance of the loan, or
    • The insurable value of the structure.

For more information on these new updates to the Flood Insurance Policy, please contact the John J Walsh Insurance Agency at (978) 745-3300.