We often get asked if the flood policy we quote is Replacement cost or Actual cash. This post will hopefully clear up the question. If you have further questions or want to speak with a flood nerd feel free to call us at 1-866-990-7482.

And if you want to save money on your flood insurance let us do your shopping.

Yes please shop my Flood Insurance

Flood Nerd to Lisa F (OR):

Flood Insurance NERD

Hi Lisa,

Thanks for reaching out, I have exciting news, your property is pre-approved!!

COVERAGE OF $200,000 for the building with a $5,000 Deductible  (no personal property coverage) at a yearly Premium of $444.78


Lisa F (OR) to Flood Nerd:

Flood Insurance Client Lisa F

Replacement cost or cash value?


Flood Nerd to Lisa F (OR):

Flood Insurance NERDHi Lisa, fantastic question.

I want to be able to answer your question and we have found that there is a misunderstanding about what RCV, replacement cost.

It shoulds like you have some understanding can you help me know what exactly you are asking so I can make sure I answer your question?

Replacement cost and actual cash take on a different meaning with the Homeowner (HO) or Dwelling policy (DP), then what it means for flood insurance. 

If you are fimmular with the government flood policy you understand that for a second home (in this case your rental) the government policy only pay on Actual cash value (aka they will depreciate your property on your claim) if this was your primary home the government policy would do RCV (not depreciate your property on your claim). 

The private flood (this policy) doesn’t depreciate for a second home. If you are covering your home at $200K and the damage is at $200k then you will get that amount minus deductible. The main difference from a standard HO or DP policy and a flood policy is that with a flood policy you will get up to the coverage you purchase for instance you have damage of $250K you would only get the amount you insured to which is $200K. I hope that clears up your questions. Do you want to increase the coverage since you are a savvy insurance consumer to make sure your risk is covered?

Let me know if you have further questions or would like to discuss what your question really was asking if this email didn’t quite cover it. 


Lisa F (OR) to Flood Nerd:

Flood Insurance Client Lisa F

You answered my question! How do I get the flood insurance policy?


Flood Nerd to Lisa F (OR):

Flood Insurance NERDHi Lisa, wonderful, my colleague Susie will be sending you an email with the next steps. Thanks for the honor of working with you for your flood insurance policy!!

Yes please shop my Flood Insurance