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.

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.

Is flood insurance required in FEMA Zone X?

No. The federal mandatory purchase rule applies to Special Flood Hazard Areas, not Zone X, so lenders typically will not require it there.

Flood FAQs

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

All FAQs

Quick answer: 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.

Choosing between NFIP and private flood insurance for a Georgia home comes down to five factors: coverage limits, how contents claims settle, the waiting period before coverage starts, whether the policy carries state guaranty-fund backing, and what drives the cost for a specific property. Each factor is a fact to check on a given property, not a rule that favors one option universally.

Coverage limits

NFIP caps building coverage at $250,000 and contents at $100,000 for a single-family home. Private flood policies are underwritten individually and can be sized above those caps. Whether the gap matters depends on a home's actual rebuild cost relative to the NFIP caps.

Settlement basis

NFIP settles contents claims on an actual cash value basis, subtracting depreciation from the payout. Some private policies offer replacement cost settlement on contents instead. See how actual cash value settlement works for the mechanics.

Waiting period

NFIP carries a standard 30-day waiting period before a new policy takes effect. Private policies vary by carrier and are sometimes shorter, but the exact period is not standardized the way NFIP's is.

Guaranty-fund backing

A policy from a Georgia-licensed (admitted) insurer carries the protection of the Georgia Insurers Insolvency Pool if the insurer fails. A surplus lines policy does not. Whether a given private flood policy is admitted or surplus lines is a fact stated on the policy itself, not something that can be assumed either way.

What drives the cost

NFIP pricing is set by federal rules and does not vary by insurer for the same risk. Private flood pricing is set by each carrier's own risk model, so it can vary by insurer for the same property, and can run higher or lower than NFIP depending on the individual risk assessment.

Each of these five factors is checkable on a specific property and policy - none of them make one option universally better than the other. Why flood is excluded from a standard home policy explains why a separate flood policy, of either type, is necessary in the first place. A coverage review can weigh all five factors against a specific Georgia address.