National Flood Insurance Program

What Does National Flood Insurance Program Mean?

The National Flood Insurance Program (NFIP) is a U.S. government initiative administered by the Federal Emergency Management Agency (FEMA). The program offers flood insurance to property owners and provides education and assistance to help reduce flood damage in areas prone to flooding, such as Tampa, FL.

Insuranceopedia Explains National Flood Insurance Program

The NFIP collaborates with private insurance companies to offer flood insurance to business owners and residents with properties located in floodplains—areas prone to flooding. In exchange, policyholders must comply with FEMA-enforced standards for constructing structures in these floodplains.

Insurance premiums are not determined by the state but are instead based on factors such as the type of structure being insured and its flood risk.