Pennsylvania flood insurance: what homeowners should know

Do you need flood insurance in Pennsylvania?

According to the most recent data collected by the Federal Emergency Management Agency (FEMA), 99 percent of U.S. counties have been impacted by a flooding event in the past 20 years. Pennsylvania homeowners are at particularly high risk, with the majority of the state experiencing 50 or more flooding incidents in any given year. Without Pennsylvania flood insurance, homeowners may be stuck paying out of pocket for damage since flooding is not a covered peril in basic homeowners insurance policies.

The NFIP paid out more than $9 million in Pennsylvania flood claims in 2023. The southern and eastern portions of the state saw the most, with Berks County in the top spot — 81 claims totaling more than $4 million. Torrential rainfall caused flash flooding that resulted in substantial damage, as well as delayed flights, power outages and several deaths. A year earlier, Pennsylvania experienced significant flash flooding around Union City, where water levels reportedly reached the rooftops of evacuated homes.

More recently, in August 2024, Tropical Storm Debby devastated parts of the state, resulting in flood damage to several rural areas. President Biden released disaster funding assistance for homeowners in Lycoming, Potter, Tioga and Union counties following the storm.

The average claims payout for flooding in Pennsylvania can vary between events, but it was over $78,000 for claims related to Hurricane Ian. Considering flood risks from hurricanes and other storms,  Pennsylvania homeowners might want to consider purchasing a flood insurance policy to protect against financial hardship caused by flood damage.

For some Pennsylvania homeowners, flood insurance is not optional. For instance, if you have a mortgage, it’s possible that your lender will require flood insurance as a contingency of the loan. Flood insurance protects the lender financially in the event that your home is badly damaged by a flood event before the mortgage is fully paid off.

Cost of flood insurance in Pennsylvania

Many factors influence the cost of flood insurance in PA, including location, home value, claims history and more. While the cost of your individual flood insurance policy will vary, the National Flood Insurance Program (NFIP) reports that the average cost of flood insurance in PA is  $1,203 annually, while the average cost nationwide is $800.

FEMA uses the Risk Rating 2.0 methodology to determine the flood risk of individual homeowners to make flood insurance premiums more fair. Some of the flood-related factors used to calculate premiums are flood frequency, flood types, distance to a water source, elevation and cost to rebuild.

Premiums may be more or less depending on the following information:

• Flood risk: The greater the flood risk in your location, the higher your rates may be. This includes the frequency of flooding, as well as the proximity to flood sources like rivers, coasts and more.
• Type and amount of coverage: The more coverage you have, the higher your rates will tend to be. This applies to both how many structures are listed on your policy and how high your coverage limits are.
• Deductible: In general, higher deductibles are associated with lower rates, while lower deductibles demand higher rates. The idea is that customers take on more of the risk themselves when they have a higher deductible.
• Location: The location of your property can have a significant impact on flood risk, as well as the associated cost to repair your home. For instance, locations that are more difficult to reach may have higher costs of repairs.
• Design and age of home: Depending on how and when your home was built, it may be more or less susceptible to flood damage. In general, the more susceptible your home is, the higher your rates will be for flood insurance.
• Insurance company: You can purchase flood insurance through the NFIP or some private insurers.

Per FEMA and NFIP experts, you may be able to save on flood insurance by lowering your flood risk, increasing your deductible, obtaining proof of elevation or engaging in community-wide risk mitigation efforts. While not all of these tips will work for everyone, hopefully, most can find one or more actionable items that will help limit flood insurance costs.

When to purchase flood insurance

Many flood insurance policies require policyholders to wait at least 30 days before coverage becomes active. This is why it’s important for homeowners to secure coverage well before a storm is expected to arrive. While there is no “right” time to purchase flood insurance, shopping for a policy the moment you realize your home falls within a region of increased risk can save you a lot of trouble in the future.

In Pennsylvania, residents tend to experience the most flooding during the spring. Therefore, it may be a good idea to purchase a policy prior to the spring thaw so you have active coverage when you might need it most. To determine if your home is in a flood-prone area, you can search for your address on the FEMA Flood Map Service Center.

How to purchase flood insurance in Pennsylvania

There are a few ways to purchase flood insurance in Pennsylvania. You can get a policy through the NFIP or a private flood insurance carrier.

The NFIP is a federally funded flood insurance program that issues policies through major carriers in Pennsylvania like Allstate, Auto-Owners and The Hartford. You can purchase a residential policy with up to $250,000 in building coverage and up to $100,000 in contents coverage. For commercial properties, those limits are $500,000 for both coverage categories. Coverage for the building and its contents must be purchased separately, and each has its own deductible.

With NFIP flood coverage, there is a 30-day waiting period before your coverage will take effect. There are only a handful of situations when the waiting period is waived, such as if you just bought a new house or purchased flood insurance while taking on, altering or renewing a mortgage.

The other option is to get private flood insurance, which is offered by some Pennsylvania insurance carriers. One of the benefits of private flood insurance is that the waiting period might be shorter than 30 days depending on the provider.

No matter how you buy flood coverage, insurance companies usually require flood insurance premiums to be paid for up front and in full, rather than in monthly installments.

If you are looking for a company that sells flood insurance, you can use this flood insurance provider tool to find carriers near you. Once you’ve selected a company, an agent will typically walk you through the final steps of purchasing your flood insurance policy.

Frequently asked questions