When do we use Selective for flood coverage versus NFIP?

Selective private flood wins for Zone X and moderate AE properties where it beats NFIP on price and offers higher limits with ALE coverage.

Does my homeowners policy cover flood damage?

No. Every homeowners, condo, renters, and landlord policy in Georgia excludes flood damage.

What to compare when choosing between NFIP and private flood in Georgia

Compare five factors: coverage limits, contents-settlement basis, waiting period, guaranty-fund backing, and what drives the cost -- each is a fact to check on a specific property, not a universal rule.

Why do we use Selective Insurance for Georgia flood coverage?

Selective Insurance writes primarily through independent agents and specializes in private flood coverage.

How widespread is flood risk across Georgia?

Flood is the most underinsured risk in Georgia. Standard homeowners, renters, and landlord policies exclude flood with no exceptions.

Flood FAQs

How does private flood coverage compare to NFIP's limits?

All FAQs

Quick answer: NFIP caps building coverage at $250,000/contents at $100,000, settles contents at ACV, with a 30-day wait. Private policies can exceed those limits and may offer RCV and shorter waits.

NFIP caps building coverage at $250,000 and contents coverage at $100,000 for a single-family home, and settles contents claims on an actual cash value basis with a standard 30-day waiting period. Private flood policies can exceed those limits, may offer replacement cost settlement on contents instead of actual cash value, and may carry a shorter waiting period, though terms vary by insurer.

How do the coverage limits differ?

NFIP's $250,000 building cap and $100,000 contents cap apply regardless of a home's actual rebuild cost or the value of its contents. A home that would cost more than $250,000 to rebuild has a coverage gap under an NFIP-only policy. Private flood insurance is underwritten individually rather than capped by a fixed federal limit, so a private policy can be sized to a specific property's full rebuild cost.

How does contents settlement differ?

NFIP settles personal property claims on an actual cash value basis, meaning depreciation is subtracted from the payout for the age and condition of each item. Some private flood policies offer replacement cost settlement on contents instead, paying to replace the item new rather than its depreciated value - see how actual cash value settlement works for the mechanics of that difference.

How does the waiting period differ?

NFIP carries a standard 30-day waiting period before a new policy takes effect. Private flood policies often have shorter waiting periods, sometimes as few as 10 to 14 days, though the exact period is set by the individual carrier and is not standardized across the private market the way NFIP's 30-day period is standardized federally.

What other features commonly differ?

Many private flood policies include loss of use coverage, paying temporary living expenses if flooding forces a homeowner out of the home during repairs. NFIP does not include additional living expense coverage in any form.

For example, a home in Cobb County would cost $420,000 to rebuild. Under NFIP, the most the structure itself can be insured for is $250,000, leaving a $170,000 gap between the policy limit and the actual rebuild cost. A private flood policy sized to the full rebuild cost closes that gap and can add living-expense coverage NFIP does not offer, at a premium that varies by carrier and property.

Coverage differences are only part of the picture - some private policies are written through non-admitted (surplus lines) carriers, so understanding admitted vs. non-admitted carrier differences matters alongside the limits comparison. To understand why flood is excluded from standard home policies in the first place, see why flood is excluded from homeowners coverage. A coverage review can compare NFIP and private flood limits for a specific Georgia address.