Are You a Renter? How to Know If You Need Flood Insurance

Basil Mahadeo
4 min readNov 12, 2021

Many people look for ideal apartments, consent to background checks, sign lease agreements, and purchase renter’s insurance in case anything goes wrong. Even after taking all these precautions, many are surprised to learn that standard renter’s insurance does not protect everything.

In most cases, standard renter’s insurance does not cover floods. As a result, if you are a renter who resides in a region susceptible to floods or heavy downpours, it is essential to purchase flood coverage to safeguard your belongings from water damage, dam bursts, and other flood-related scenarios.

What Is Renter’s Flood Insurance?

This insurance covers your personal and household possessions against floods caused by coastal drowning, snowmelt, excessive rainfall, or breached dikes or dams. However, this insurance usually does not cover water damage arising from internal concerns such as burst pipes or drainage problems. These risks are covered by standard renter’s insurance.

There are two types of flood insurance policies on the market. Some cover structural damage only, and others cover the assets within the structures. If your property owner has flood coverage, it will only cover the building and will not cover any loss to your personal possessions. You are responsible for insuring your belongings.

Are Tenants Required to Have Flood Insurance?

Although this type of insurance policy is not compulsory, it can be a valuable addition to standard renter’s insurance coverage. Although this will depend on where you will reside, it may be as vital as standard renter’s insurance. Here, we look at a few of the advantages of flood insurance for renters.

Floods Are Costly

Even one inch of water damage or minor flooding can cost a lot of money, especially when repairing or replacing items that have been damaged. For example, you’ll have to fix any furniture or other items that were destroyed by the water.

You’ll also have to factor in other expenses. Because of the high humidity in the house, floods frequently result in mold growth, which could further harm your belongings. Additionally, you may also have to pay for hotel accommodations and other moving costs while your home is being repaired or rebuilt following a flood. These expenditures can make floods amongst the costliest natural calamities for your rental home.

You Must Safeguard Your Belongings

Tenants often neglect flood coverage because they aren’t accountable for the structure of their homes. Your landlord’s or property management company’s insurance policy will only protect the structure itself, not your personal belongings.

Furthermore, your standard renter’s insurance will not cover the cost of replacing or repairing your belongings if they are damaged due to floods. Therefore, it is your responsibility to insure anything you possess.

Since flood damage is pervasive and costly, it is among the items that tenant’s insurance specifically excluded from coverage. The only means of protecting your belongings from flood hazards are by purchasing renter’s flood coverage.

Some Regions Are at Higher Risk Than Others

Even though all tenants should consider adding additional flood insurance, some residences are more vulnerable than others. Most places use historical and geographic factors to calculate the chance of your home being flooded either now or in the subsequent five years. Though the name of hazard maps will vary depending on your community, it is important to find out where these areas are so you can be adequately prepared.

Therefore, studying a flood map before renting is worth it, particularly if you’ll be around for a long time. If you don’t want to pay higher insurance premiums that cover you in the event of a flood, renting in a low-risk region will be the right approach.

Coverage with higher risk or premiums is exceptionally crucial for individuals who reside in locations susceptible to storms and heavy downpours. You can call the customer service of insurance companies to discuss your needs; they are there to help and will help you make the right decision.

Disaster Relief Funds Aren’t Always Reliable

In the event of a national emergency, some disaster victims are eligible to receive funding or grants from national or international agencies. Although these disaster relief funds can help in the short-term, they may not be sufficient to meet all your needs. Investing in renter’s flood insurance may be the best option to supplement disaster relief funds, which can be inconsistent, insufficient, and short-term.

It is also wise to invest in coverage because floods don’t have to meet the definition of a government-recognized disaster in order to be financially devastating.


You should buy additional coverage like flood insurance for renters because regular renter’s insurance does not offer property damage protection. The advantages of such coverage highlighted above demonstrates why you may benefit from flood coverage.



Basil Mahadeo

Basil Dahana Ram Mahadeo is a Director of GBTI for the past twenty-two (22) years.