If you are a tenant, it is wise to insure your contents. The policy premium will be based on several factors including the flood risk of the building that you occupy.
Moderate-to-Low Risk
Most renters in moderate-to-low risk areas are eligible for coverage at a preferred rate. Preferred Risk Policy premiums are the lowest premiums available through the National Flood Insurance Program, (NFIP).
If you do not qualify for a Preferred Risk Policy, a standard rated policy is still available. Even though flood insurance isn’t federally required, nearly 25% of all NFIP flood claims occur in moderate-to-low risk areas.
High-Risk
If you live in a high-risk area, a standard rated policy is the only option for you.
Renter’s Flood insurance premiums are calculated based on factors such as:
- Year of building construction
- Building occupancy
- Number of floors
- The location of its contents
- Its flood risk (i.e. its flood zone)
- The location of the lowest floor in relation to the elevation requirement on the flood map (in newer buildings only)
- The deductible you choose and the amount of coverage
NFIP = National Flood Insurance Program




