2023 – How much is Flood Insurance in Colorado?
Save Money on Colorado Flood Insurance
Understand your options for Flood Insurance in Colorado – Explained by real flood experts – the Flood Nerds™
I am Robert Murphy, the Lead Flood Expert at Better Flood Insurance Agency based in Colorado. Our team at Flood Nerds takes pride in calling Colorado our home, and we find joy in helping fellow residents navigate through the challenges of finding affordable flood insurance. We understand the pain that comes along with rising premiums and the urgency to secure flood insurance quickly. Allow the Colorado Flood Nerds to assist you in discovering the optimal coverage at the best possible pricing.
How Much is Flood Insurance in Colorado?
Are you paying too much for your flood insurance premium? Most people are, and they don’t even know it. There’s a good chance you could be saving money on flood insurance if you have a flood nerd shop around. Don’t overpay on your flood insurance – find out how much you could save!
With the right help and a flood nerd, flood insurance in Colorado doesn’t have to be expensive. Instead of worrying about how much flood insurance is in Colorado and how much your premium is going to cost you every year, why not get an expert on your side and figure out the best coverage options for you?
Get the most out of your flood insurance policy with a flood nerd. Our team of experts will review your policy and compare it to NFIP and show our pre-vetted private flood insurance market so that you don’t have to worry about overpaying or missing important coverage. Get smarter about your flood risk today.
Colorado Homeowner’s Insurance Does NOT Cover Flooding
The usual Colorado homeowner’s insurance policy is offered by Farmers, State Farm, Allstate, or Progressive to secure the house against theft, fire, and wind. However, none of them defends against flood damage which is a significant concern.
It may seem absurd to request flood coverage endorsement, and most agents will not even consider it. Rather, in Colorado, obtaining separate Colorado flood insurance policy is a must. The issue is that even when you approach most homeowner’s insurance representatives, they tend to dump you into the National Flood Insurance Program (NFIP), the easiest route for them, but the most expensive for you.
Fear not! The good news is we, the Colorado Flood Insurance Experts at Flood Nerds, always secure the best coverage and rate. The search is entirely free.
Get a Colorado Flood Insurance Quote
When it comes to flood insurance in Colorado, you need to make sure you’re shopping around for the best flood insurance quote. But how can you compare the different policies when all of the language is so technical? Plus it takes so much time.
Get an expert in your corner who understands what all the insurance jargon means. From NFIP to private quotes, your flood nerd will make sure you get the cheapest flood insurance rate that doesn’t compromise your coverage.
Let us take away the hassle of understanding your Colorado flood insurance quote. Our flood nerds are here to help you get a great deal on your coverage.
Do You Really Need Colorado Flood Insurance?
Colorado’s geography is characterized by either sprawling flatlands or majestic mountains, and the state is entirely landlocked without access to the ocean. Given this, it might seem superfluous to purchase flood insurance in Colorado. After all, it doesn’t flood in Colorado, does it?
The floods that wrecked Colorado in 2013 caused an enormous loss exceeding a whopping $2 billion. It’s a staggering amount that underscores the pressing need to consider coverage options. Yet, many hold the misguided notion that residing outside high-risk flood zones means automatic immunity to risks. Regrettably, such a belief can backfire, leaving them caught off guard and without coverage.
“The weather man is always right – said no one, ever.”
Indeed, that is quite accurate, especially for Colorado. The state experiences every kind of precipitation: rain, sleet, snow. However, it all melts eventually, and as a result, creek and river levels tend to rise, leading to occasional flooding incidents.
Although you may reside in a low-risk area, it doesn’t guarantee a zero chance of flooding. Shockingly, low-risk areas account for 20% of all flooding events in the United States each year. Therefore, it’s essential to remain vigilant and prepare for potential flooding.
Did you consider purchasing flood insurance when buying your house, but decided against it because the lender didn’t require you to?
Maybe the real estate agent assured you that flood insurance wasn’t necessary, or perhaps you believe that you are immune to floods. However, it’s essential to remember that floods can happen to anyone, anywhere, and flood insurance can safeguard your home and belongings from financial ruin in the event of a flood.
Have you ever witnessed a massive storm imminent and fretted over the likelihood of flooding? Even if you were fortunate enough to escape unscathed, what about the next time?
Just because you are in a low-risk area doesn’t mean you have no risk of flooding.
The feds have been collecting flood data for the last 50 years. This data shows that recent major storms resulted in flooding in low-risk areas. And 90% of people with homes that were flooded didn’t have flood insurance.
Don’t buy the “low-risk” lie – buy flood insurance!
What Happens If You Have a Flood But Not Flood Insurance in Colorado?
This one is easy! When your home is damaged by a flood and you don’t have flood insurance you are stuck paying for the damage.
Flooding is one of the most expensive causes of damage to repair. It can cost $40,000 to $90,000 to fix the house. That’s not including the contents.
Maybe you are betting the government will step in and help.
That’s another lie.
“The nine most terrifying words in the English language are:
I’m from the Government, and I’m here to help.”
Ronald Regan, former California Governor and President of the US
For you to get that government “assistance” in Colorado, this is what must happen:
√ The Governor of Colorado must request a federal declaration of disaster.
√ The President must declare the area a disaster area to make federal assistance available.
√ You must apply for that assistance.
√ Assistance will be in the form of a loan you MUST pay back.
√ That glorious assistance will be about $5,000.
You’ll land a loan of about $5,000 to cover the average $40,000 to $90,000 of damage.
Now you understand why so many properties are abandoned or foreclosed after having flood damage?
Flooding is the number two natural disaster in Colorado, just after wildfire ~ If you don’t have flood insurance, you face financial ruin.
So it is better to have Colorado flood insurance rather than bet on a government bailout.
Flood Maps in Colorado
Many Colorado flood zone maps are more than 40 years old. Since then, areas have been developed and more pavement and buildings mean less ground to absorb water. Out-of-date maps are a real problem. The NFIP and all federally backed lenders rely on flood zone map to assess risk, set premiums and determine who is required to purchase flood insurance.
Bad Colorado flood zone maps leave property owners under or uninsured.
An outdated flood map that doesn’t reflect recent development puts you at risk for flooding without you knowing it.
Even FEMA admits that the flood maps only partially reflect the real risk.
Flood coverage gives you peace of mind and Colorado flood insurance rates aren’t as bad as you think. Colorado flood insurance averages between $405 – $700 a year.
No matter what the map says, it’s better to have coverage and not need it than to not have coverage and wish you did.
Flood Insurance Quote in Colorado
Most homeowners, real estate agents, and lenders don’t realize you have many options when it comes to Colorado flood insurance. But the Flood Nerds know all about getting cheap flood insurance in Colorado. We know more than 5 Ways to Save on Flood Insurance. There are basically two markets for Colorado flood insurance.
National Flood Insurance Program (NFIP)
The NFIP is run by the Federal Emergency Management Administration. This is the government option for flood insurance and many people think it’s the only way to get Colorado flood insurance. That’s because they held a 50-year monopoly on the market and their premiums reflect that dominance.
Some insurance companies are just re-sellers of the NFIP policy. They sell you an NFIP policy with their insurance company’s logo on it. If you have Nationwide flood insurance, State Farm flood insurance, Progressive flood insurance or a policy by any other re-seller you just have NFIP insurance under a private skin. That’s NOT private flood insurance and it is NOT the way to save money on Colorado flood insurance. Is your current policy through a re-seller? Check out this list of companies that resell the NFIP policy.
Private flood insurance market
Colorado isn’t stuck with the NFIP. There is a robust private flood insurance market and you can even tap into the Lloyds of London flood insurance syndicate for Colorado flood insurance. Sometimes you can get real good rates with Lloyds because they spread the risk all over the world and the risk of the entire planet flooding at once is very small. We Flood Nerds like to say, “God said he wouldn’t flood the world again and Lloyds of London takes him at his word”. Now you know what makes a Flood Nerd snort and laugh.
But getting the Colorado flood insurance isn’t a laughing matter. There’s so many options and it’s easy to confuse the private flood insurance market with those NFIP re-sellers. But the Flood Nerds know the ins and outs of private flood insurance. Take the easy way out and just ask a Flood Nerd to get you a free quote for cheap flood insurance in Colorado.
We shop all the options for your property in your area of Colorado to get you the best premium. We’ll even check out the NFIP to make sure that all the bases are covered.
The Cost of Flood Insurance in Colorado
One major factor in the cost of flood insurance for Colorado is the property location and the company that writes the coverage. Premiums for homes in low-to-moderate risk are lower and premiums in high risk areas are higher.
Flood Zone X – Colorado Low-to Moderate Risk Zone
Lenders don’t require flood insurance in this zone. But remember, floods happen in low risk zones, and the map may be old.
For properties in the X Flood Zone we usually suggest the government Preferred Risk Policy (PRP). The government subsidizes a portion of the premium and limits the coverage, so this keeps the rates low.
The average cost for PRP flood insurance in Colorado with the maximum set limits in low risk flood zone areas is $405 – $700 per year.
Flood Zone AE in Colorado
A higher risk flood zone is Flood Zone AE. If your property is in Zone AE, your lender will require you to have flood insurance.
The cost of flood insurance in Colorado Zone AE really depends on factors that are unique to the structure.