Getting Flood Insurance in Texas

Standard NFIP Waiting Period

Unless the coverage is mandated, purchased as required by a government-backed lender, or related to a community flood map modification, there is usually a 30-day waiting time before an NFIP policy takes effect. The majority of flood policies require a 30-day waiting period before they become effective. Therefore, it is important to purchase coverage prior to an impending storm. This means if you purchase federal flood insurance through FEMA's National Flood Insurance Program, you'll need to wait a full month before your coverage becomes active.

Exceptions for Immediate Coverage

There are four exceptions to this rule: There is no wait if you buy flood insurance while making, increasing, extending, or renewing a mortgage. There is no wait if you change your flood insurance coverage while renewing your policy. There is a one-day wait if your property is in a newly-designated high-risk flood zone and you buy a policy within 12 months of the update. Additionally, there's a one-day waiting period if flooding is caused by a wildfire on federal land and you purchase a policy within 60 days of the wildfire containment date.

Private Flood Insurance Options

Private flood policies usually take up to 15 days to take effect after the initial purchase of flood insurance. However, policies can go into effect in as little as 10 to 14 days, and some providers have no waiting period at all. Private insurance may offer immediate coverage, making it a faster option than NFIP if you need coverage quickly.

Mortgage-Related Purchases

If you're closing on a property, there is no waiting period. You only have to provide the payment of premium within a 30-day waiting period. This means if you're buying, refinancing, or renewing a mortgage, flood insurance can take effect immediately without the standard 30-day wait, whether you choose NFIP or private coverage.

Coverage Limits and Costs

Your home will be covered for up to $250,000 under a flood insurance policy. You will need a separate flood policy for your things, which will cover them for up to $100,000. A recent analysis says that private flood insurance costs around $98 a month on average, whereas NFIP coverage just $75 a month.

Important Considerations for Texas

Given Texas's high flood risk, timing is crucial. Texas homeowners can't afford to be passive. With floods growing more violent and frequent, every delay in securing the right coverage increases your financial and personal risk. If severe weather is approaching and you need immediate coverage, private flood insurance companies like Neptune and Kin may offer policies with no waiting period.

Best Strategy

For fastest coverage in Texas, consider private flood insurance if you're not in a mortgage situation. If you are buying, refinancing, or renewing a mortgage, both NFIP and private options can provide immediate coverage. Compare quotes from multiple providers to find the best combination of speed, coverage, and cost for your specific situation.