Many policyholders only become aware of the flood exclusions in their policies after a devastating flood event-when they learn that they have no coverage for their damaged home and personal property. In order to better assist clients in understanding potential gaps in their property insurance coverage, producers, including those that do not write flood coverage, should have a basic understanding of flood and the options for insuring flood risk.

This course discusses the nature of the flood peril to aid producers in helping their clients identify and understand gaps in standard coverage. This course also provides an overview of the role of, and coverage provided by, the National Flood Insurance Program (NFIP), and concludes with a discussion of private market options to fill potential gaps in coverage or provide excess coverage over NFIP limits.

Upon completion of this course, students will be able to:

• describe the extent of flood exclusions found in standardized policies
• explain why many property owners fail to purchase flood insurance
• list the basic policies and coverages offered by the NFIP
• discuss the barriers that have long prevented many private insurers from providing primary flood insurance coverage
• discuss the flood insurance options available in the private market
• list the various advantages and disadvantages of private market solutions over NFIP coverage

Property and casualty insurance producers and adjusters