Louisiana flood insurance: what homeowners should know
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Do you need flood insurance in Louisiana?
If you own your home outright, you’re not legally required to have flood insurance in Louisiana. However, if you have a conventional mortgage, your financial lender will likely require you to carry a flood insurance policy (on top of home insurance) if your house is in a Special Flood Hazard Area (SFHA) designated by the Federal Emergency Management Agency (FEMA). Even if flood insurance isn’t a requirement for you, most insurance experts recommend that you have it — especially in a flood-prone state like Louisiana.
Louisiana flood map
Not sure if you’re in a flood zone? You can use this interactive map from the Louisiana State University College of Agriculture to look up your address. If your home is in Zone A, AO, A1-30, AE, A99, AR, AR/A, AR/AE, AR/AH, AR/A1-A30, V1-V30, VE or V, you live in a Special Flood Hazard Area.
Flood damage is excluded from home insurance, and a flood can be financially devastating. According to FEMA, the average National Flood Insurance Program (NFIP) claim payout in Louisiana was $53.4K in 2019. Without flood insurance, you would need to shoulder the cost of those repairs completely out of pocket; your home insurance policy won’t help when it comes to floods.
There are a few ways to purchase Louisiana flood insurance. Policies are available from the NFIP, which is a program managed by FEMA. However, dwelling limits are capped at $250,000 for NFIP policies. If you need higher coverage limits, you may need to seek out a private flood insurance company.
Read more: Guide to flood insurance for homeowners
Flood events in Louisiana
Louisiana's vulnerability to floods is well known, with several towns frequently experiencing this natural calamity. Baton Rouge, for example, faces regular floods due to its location along the Mississippi River. And New Orleans is situated below sea level and surrounded by the Mississippi River and Lake Pontchartrain, making it highly susceptible to flooding. Smaller towns like Lafitte, Morgan City and Cameron also regularly confront flooding issues due to their coastal locations and other environmental factors.
| Town | Vulnerabilities and key flood events |
|---|---|
| Baton Rouge | Regular floods due to proximity to the Mississippi River. |
| New Orleans | Catastrophic flooding during Hurricane Katrina in 2005. Vulnerability due to being below sea level. |
| Lafitte | Frequent flooding from tropical storms and hurricanes; coastal erosion issues. |
| Morgan City | Floods from riverine sources and hurricanes due to its location near the Atchafalaya River. |
| Cameron | Recurring flooding and storm surges due to its location along the Gulf of Mexico. |
How much is flood insurance in Louisiana?
According to FEMA, the average cost of flood insurance in Louisiana is $871 per year. However, the cost of your own flood insurance will depend on several factors. First, and perhaps most impactful, is your flood zone. Flood zones help determine how likely a flood is in your area. Areas with higher flood risk designations typically see higher premiums for flood insurance.
Additionally, the coverage you purchase will affect how much Louisiana flood insurance is. Flood policies sold by the NFIP only have two coverage options: dwelling coverage (up to $250,000) and personal property coverage (up to $100,000). Dwelling coverage is the backbone of a flood insurance policy and covers the structure of your home, while personal property coverage (also called contents coverage) covers your belongings. A dwelling-only policy will probably be cheaper than buying both coverage types. Also, the more coverage you purchase, the more your policy will likely cost.
Your premium is also based on any flood mitigation features that you may have. Certain home features can decrease the risk of water damage from floods, like installing openings for the water to drain out and elevating your home. These features may help lower the cost of your policy.
Finally, it’s important to know that some private insurers do offer their own flood insurance, outside of NFIP government-backed policies. So, when it comes to figuring out how much flood insurance will be in Louisiana, note that rates will vary between carriers. As such, comparing flood insurance quotes could be a helpful shopping tactic.
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Powered by Coverage.com (NPN: 19966249)
Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.
How to purchase flood insurance in Louisiana
You may be able to purchase flood insurance through your home insurance company. Some private home insurance providers partner with the NFIP to administer flood policies. Your home insurance company might also partner with a private flood insurance company and may be able to help facilitate a purchase.
If you can’t get a policy through your home insurance provider, you’ll need to contact either the NFIP or a private flood company directly. From there, you’ll be able to finalize your policy.
When to purchase flood insurance
Whether you purchase from the NFIP or a private insurance company, most flood insurance has a 30-day waiting period. This means your policy won’t go into effect until 30 days after you’ve purchased it. There are some exceptions to this rule, such as for a loan closing, and some private flood insurance companies may have shorter waiting periods.
Generally, you should give yourself plenty of time to shop for and buy a flood insurance policy. Most insurance carriers will not allow flood insurance to be purchased when a major storm is in the forecast. This pause in the sale of new policies is called a moratorium. If you know your home is at risk for flooding, consider getting a policy before any kind of damage is imminent.
