Flooding is a huge issue for the United States, with billions in losses annually and many people uninsured because of lack of availability, unaffordable coverage, or lack of understanding as to what policies provide what coverage.
NFIP has been the go-to for flood insurance since 1968. There have been struggles over the years and there are flaws in the system, including mapping and the ability to charge actuarially correct premiums for the risk exposure. Changes have been made, and the industry has started providing some policies. ISO has developed both commercial and personal flood programs. Some private carriers are developing flood policies based on the standard NFIP provisions. Another alternative is parametric policies.
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