If you live in or near a flood zone, you are likely well aware of the need for flood insurance – which is excluded from your homeowner’s insurance. Unfortunately, too many Americans don’t know they are at risk to the peril of flood. You see, roughly 25% of actual flood damage occurs to homes outside of official flood zones making flood insurance a necessity for many more homeowners.
For years, the National Flood Insurance Program (NFIP) administered by the US government has held a monopoly on flood insurance, pushing the private flood market aside. In that time, the program’s rate inaccuracies, poor coverage options, and slow claims servicing have cost taxpayers about $40 billion and counting.
Fortunately, the private flood market has been growing in spite of government efforts to shut it out. In fact, its seen a growth rate of 50% a year for the past decade. Further, just as they accept NFIP policies, mortgage companies must now accept private flood policies as proof of flood insurance. Having options for flood insurance beyond the NFIP has provided tremendous benefit to consumers.
We are pleased to work with CATcoverage.com which administers:
(1) the premier flood insurance option from the Natural Catastrophe Insurance Program (NCIP)
(2) a private market NFIP-equivalent policy (better service and faster claims paying than NFIP)
NCIP reports that 50% of their flood quotes come in lower than quotes from the NFIP. At the same time, NCIP offers more coverage with higher limits including coverage for basement contents and carports. CATcoverage.com also accesses more private flood insurers than any other resource available to brokers or consumers which enables insurers to spread their risk across multiple neighborhoods, counties and states.