For decades the federal government has quietly underwritten flood protection across the country to reduce the potential losses to communities when a flood occurs. Under the National Flood Insurance Program, or NFIP, the federal government offers flood insurance coverage which is then administered and sold to consumer through private insurance companies working as middleman parties. Flood insurance in general is not required coverage for a consumer in Oro Valley, AZ or elsewhere unless he or she lives in a recognized flood plain, determined by the Federal Emergency Management Agency, or FEMA. A flood plain is essentially a region known for regular flooding, and the frequency is rated in years of likely flooding again. So a 100-year flood plain, for example, has a chance of a disastrous flood every 100 years. If so, affected homes with mortgages then have lender requirements for flood insurance to protect the outstanding loan if a flood occurs (otherwise the home as collateral becomes worthless when damaged). So, if a person is in a certified flood plain with a mortgaged home and coverage requirements, then flood insurance will be required and most likely associated with NFIP. Otherwise, a homeowner can choose to buy flood insurance as an option, which is also supported by NFIP.

The Old Pueblo Insurance group can explain known flood plain risks for Oro Valley, AZ residents and how NFIP works. Their expertise can wade through a lot of the bureaucratic language in coverage reference and get right to the point as to what is required, what is optional, and what protection it will provide. To find out more, give the folks at Old Pueblo Insurance a call or email when you have a minute. The information you get may protect your home better than before.