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Flood Insurance Coverage Limits: What NFIP Pays For

Updated October 2026

Most U.S. flood insurance is written through FEMA’s National Flood Insurance Program, and the program has hard caps. Here is what an NFIP policy pays for, what it does not, and how often real claims hit the ceiling.

NFIP coverage limits

Building type	Building coverage, up to	Contents coverage, up to
Single-family and 2–4 family homes	$250,000	$100,000
Other residential (5+ units)	$500,000	$100,000
Non-residential and business	$500,000	$500,000
Renters (contents only)	—	$100,000

Building and contents are bought separately, each with its own deductible. A policy can also include Increased Cost of Compliance (ICC) coverage of up to $30,000 toward elevating, flood-proofing, relocating or demolishing a building that local officials declare substantially damaged.

How often claims hit the limit

Among 397,782 single-family home claims since 2015 in Florida, Illinois, Louisiana, New Jersey, New York, North Carolina and Texas:

58% carried the maximum $250,000 of building coverage. The median building coverage was $250,000.
20,503 claims (5%) were paid at or within 5% of the building coverage they had — the policy ran out.
17,075 (4%) had building damage assessed above the coverage limit; the owner paid the difference.
20% had no contents coverage, so furniture, clothing and appliances that are not part of the building were not covered at all.
ICC paid out on 31,200 claims, with a median of $30,000 — most ICC claims use the full $30,000.

Hitting the cap is not common, but when it happens the shortfall is large. Homes worth more than about $250,000 to rebuild, and anyone in a coastal V zone, should price excess coverage.

What an NFIP policy covers

Building coverage pays for the structure and what is built into it:

Foundation, walls, floors, staircases, and the electrical and plumbing systems
Furnace, water heater, central air, heat pump, fuel tanks and well pumps
Built-in appliances, permanently installed carpeting, cabinets, bookcases and paneling
A detached garage (up to 10% of the building limit, counted against it)
Debris removal

Contents coverage pays for personal property:

Furniture, clothing, electronics and portable appliances
Washer, dryer and a freezer with the food in it
Curtains, portable air conditioners and carpets not included in building coverage
Valuables like art and furs, up to $2,500 in total

What it does not cover

Temporary housing and other living expenses while you are out of the home
Cars and other vehicles — those fall under comprehensive auto coverage
Land, landscaping, fences, decks, patios, pools and most property outside the building
Cash, precious metals and important papers
Damage from moisture, mold or mildew that the owner could have prevented
Most finishes and belongings in a basement — see basements
Water that does not meet the policy definition of a flood (for example, a burst pipe — that is a homeowners claim)

Replacement cost or actual cash value

The building is paid at replacement cost only for a single-family primary residence insured to at least 80% of its replacement cost, or to the $250,000 maximum. Everything else — second homes, rentals, under-insured homes, and all contents — is paid at actual cash value, which subtracts depreciation. That is one reason the typical paid claim is lower than the damage owners expect.

Common questions

What is the maximum coverage on an NFIP flood policy?

For a one-to-four family home: $250,000 for the building and $100,000 for contents, bought separately. Other residential and non-residential buildings can get up to $500,000 for the building and $500,000 for contents.

Can I get more than $250,000 of flood coverage?

Yes, from the private market. Excess flood insurance sits on top of an NFIP policy, and some private primary flood policies offer higher limits outright. Availability and price depend on the property and the state.

Does flood insurance cover my belongings?

Only if you buy contents coverage — it is separate from building coverage. 20% of the single-family homes that filed claims since 2015 in the states we cover had no contents coverage at all.

Does flood insurance pay for a hotel while my home is repaired?

No. NFIP policies do not cover additional living expenses or loss of use. Some private flood policies do; check before you buy.

More guides

General information, not insurance, legal or real-estate advice. Rules and programs change — confirm details with FEMA, your insurer, or a licensed professional.